wealth management
wealth management
Podcast
17.10.2024
Ideally, a wealth grows over years, often over generations. However, this increases its complexity and the challenges relevant to its assets. wealth is money, but not just money. There is a story behind it, one or more companies and people with all their emotions.
For us, decomplexing means using a asset structuring the continued existence of the company and family wealth . With such a structure, the owners can clarify the goals of their wealth for themselves and for the next generation.
This involves a very difficult decision, especially in a business context: Is wealth seen as an obligation to future generations or purely as an investment?
To make matters worse, the larger and more complex wealth is, the more time-consuming and difficult it becomes to obtain the status quo and an overview of all assets and their development, especially if these assets are highly fragmented. However, this basis is essential in order to be able to make well-founded decisions.
Prosperity may bring some freedom, but many families face very individual and complex challenges in managing their wealth .
Be aware of the goal you are pursuing with your wealth . It is advisable to put your family first. This will enable you to make more conscious decisions and ensure that your ideas as a wealth creator are ultimately taken into account with regard to the care of your family. It is advisable to write this plan down once. This will give you more awareness and focus.
How many banks and asset managers have you mandated? How many and which types of company do you invest through? What assets do you have to consider in addition to traditional bank accounts? Where is all this information stored and who has access to it? This list of questions could go on for a long time.
The systematic collection of data on all liquid and illiquid assets across the relevant asset holders (natural/legal persons, foundations, etc.) is very important. The resulting consolidated asset reporting gives you a clear overview of your entire wealth and its interrelationships.
This also includes secure, ideally digital document management. All in all, this gives you a kind of single source of truth that you and all your relevant consultants can access as required.
The more complex a wealth, the more there is to consider in terms of compliance, tax and legal issues. No consultant can (or should) say in good conscience that they have the answers to all questions. Therefore, make sure that you have a strong network of qualified partners at your side.
An important contribution is not to lose sight of the overarching task in order to lead the consulting team professionally and to bring all parts together in a coherent way.
You have to prepare for long-term success. Achieving your individual goals is largely decided long before the first investment decision is made. This strategic asset allocation must be based on your individual situation, your goals and your personal risk tolerance as well as long-term guidelines.
It is crucial that the resulting strategic asset allocation is comprehensive and detailed and not just limited to (often the liquid) parts of wealth .
We are experiencing constant change in the legal, regulatory and tax areas; the capital markets are also constantly changing. It is therefore difficult to speak of "permanent results". Nevertheless, or all the more so: consider early on how your plan could be adapted to changes in special life events. Regular reviews of your strategy are a MUST.
Developing a wealth strategy and revising a wealth structure that has grown (sometimes "wildly" over the years) can be a major challenge and seem overwhelming.
However, the above steps show that this task is perfectly manageable and does not have to be stressful.
From a certain size and complexity of wealth , family offices often come into play. FINVIA, for example, is a modern multi-family office that combines decades of experience and personal advice with the possibilities of state-of-the-art technologies, thereby defining a new standard.
As the conductors of your wealth orchestra, we are committed to your personal success, monitor the performance of the partners and service providers commissioned and keep you transparently informed about your wealth and its development at all times.
As an independent authority, we are solely committed to you, so that you ultimately have more peace of mind and time for the important things in life.
wealth management
17.10.2024
Christina Hartner
As wealth grows, so does its complexity and the challenges for its owners. So how can you master these and ensure that you and your family always have an overview and a sound basis for decision-making? Senior Family Officer Christina Hartner on the 5 steps to wealth decomplexing.
Ideally, a wealth grows over years, often over generations. However, this increases its complexity and the challenges relevant to its assets. wealth is money, but not just money. There is a story behind it, one or more companies and people with all their emotions.
For us, decomplexing means using a asset structuring the continued existence of the company and family wealth . With such a structure, the owners can clarify the goals of their wealth for themselves and for the next generation.
This involves a very difficult decision, especially in a business context: Is wealth seen as an obligation to future generations or purely as an investment?
To make matters worse, the larger and more complex wealth is, the more time-consuming and difficult it becomes to obtain the status quo and an overview of all assets and their development, especially if these assets are highly fragmented. However, this basis is essential in order to be able to make well-founded decisions.
Prosperity may bring some freedom, but many families face very individual and complex challenges in managing their wealth .
Be aware of the goal you are pursuing with your wealth . It is advisable to put your family first. This will enable you to make more conscious decisions and ensure that your ideas as a wealth creator are ultimately taken into account with regard to the care of your family. It is advisable to write this plan down once. This will give you more awareness and focus.
How many banks and asset managers have you mandated? How many and which types of company do you invest through? What assets do you have to consider in addition to traditional bank accounts? Where is all this information stored and who has access to it? This list of questions could go on for a long time.
The systematic collection of data on all liquid and illiquid assets across the relevant asset holders (natural/legal persons, foundations, etc.) is very important. The resulting consolidated asset reporting gives you a clear overview of your entire wealth and its interrelationships.
This also includes secure, ideally digital document management. All in all, this gives you a kind of single source of truth that you and all your relevant consultants can access as required.
The more complex a wealth, the more there is to consider in terms of compliance, tax and legal issues. No consultant can (or should) say in good conscience that they have the answers to all questions. Therefore, make sure that you have a strong network of qualified partners at your side.
An important contribution is not to lose sight of the overarching task in order to lead the consulting team professionally and to bring all parts together in a coherent way.
You have to prepare for long-term success. Achieving your individual goals is largely decided long before the first investment decision is made. This strategic asset allocation must be based on your individual situation, your goals and your personal risk tolerance as well as long-term guidelines.
It is crucial that the resulting strategic asset allocation is comprehensive and detailed and not just limited to (often the liquid) parts of wealth .
We are experiencing constant change in the legal, regulatory and tax areas; the capital markets are also constantly changing. It is therefore difficult to speak of "permanent results". Nevertheless, or all the more so: consider early on how your plan could be adapted to changes in special life events. Regular reviews of your strategy are a MUST.
Developing a wealth strategy and revising a wealth structure that has grown (sometimes "wildly" over the years) can be a major challenge and seem overwhelming.
However, the above steps show that this task is perfectly manageable and does not have to be stressful.
From a certain size and complexity of wealth , family offices often come into play. FINVIA, for example, is a modern multi-family office that combines decades of experience and personal advice with the possibilities of state-of-the-art technologies, thereby defining a new standard.
As the conductors of your wealth orchestra, we are committed to your personal success, monitor the performance of the partners and service providers commissioned and keep you transparently informed about your wealth and its development at all times.
As an independent authority, we are solely committed to you, so that you ultimately have more peace of mind and time for the important things in life.
About the author
Christina Hartner
The focus is on supporting customers in southern Germany.
She began her professional career over 20 years ago at Deutsche Bank AG, while at the same time earning her business degree. This was later followed by an MBA, which she completed as assistant to the management at SHB.
Before joining FINVIA, she worked as a consultant in the private banking sector, including at Bethmann Bank and for over 11 years in wealth management at Berenberg Bank. She specialized in structuring family assets and providing strategic advice to entrepreneurs, family offices and foundations.
Christina Hartner is also a certified financial planner (Certified Financial Planner®) and foundation consultant (DSA).
