DR. DR. FILEMON C.

AGUILAR MEMORIAL COLLEGE OF LAS PIÑAS

Golden Gate Subd., Talon III, Las Piñas City
Tel No. 403-1985, 478-8671, 519-1960

Course Code and Title : Special Topics in Financial Management

Lesson Number : 1
Topic : Wealth Management

Professor : Jusffer Alexander De Leon, MBM, DBA*

Soledad S. Escritor, MBA,MPA, Juris Doctor (J.D)

INTRODUCTION:

This topic discusses the concept of Wealth

management and its difference with
investment banking. It will show the
importance and function of wealth
management.

Objectives:

At the end of this lesson, you should be able to:

1. Explain the highlights of Special topics of financial management

2. Understand the theories, concepts and practice used in financial advisory.

3. Analyze the importance of wealth management and investment banking.

Pre-Assessment:

Answer the question below using 5 to 10 sentences with justification. COPY AND PASTE from the
internet is prohibited.

Why do you need to consider economics in wealth management?

LESSON:
 DR. DR. FILEMON C. AGUILAR MEMORIAL COLLEGE OF LAS PIÑAS
Golden Gate Subd., Talon III, Las Piñas City
Tel No. 403-1985, 478-8671, 519-1960

Wealth Management

 The field of wealth management is

concerned with providing financial services
primarily for high net worth individuals and
ultra-high net worth individuals, although
less wealthy people sometimes seek
wealth management services, too. There
are wealth managers who work with
individuals who hold assets anywhere from
$50,000 to $500,00, and others who prefer
to work with high net worth clients and
handle millions.

 Wealth management refers simply to money management, in all its aspects. Wealth
management firms make money by charging fees for the various services they provide. In the
area of investments, clients are often sold managed account services, discretionary investment
accounts that are traded on behalf of the client by one of the investment professionals at the
firm.

 In addition, wealth management firms provide clients with brokerage accounts, so clients can
access virtually any type of investment. In addition to investment services, wealth management
clients are provided with tax planning, estate planning, and retirement planning services.

 Wealth management is an investment advisory service that combines other financial services
to address the needs of affluent clients. It is a consultative process whereby the advisor gleans
information about the client's wants and tailors a bespoke strategy utilizing appropriate
financial products and services.

 A wealth management advisor or wealth manager is a type of financial advisor who utilizes the
spectrum of financial disciplines available, such as financial and investment advice, legal or
estate planning, accounting, and tax services, and retirement planning, to manage an affluent
client's wealth for one set fee. Wealth management practices differ depending on the nation,
such as if you are in the United States versus Canada.

How Does Wealth Management Work?

 DR. DR. FILEMON C. AGUILAR MEMORIAL COLLEGE OF LAS PIÑAS
Golden Gate Subd., Talon III, Las Piñas City
Tel No. 403-1985, 478-8671, 519-1960

Wealth management combines both financial planning and specialized financial services, including
personal retail banking services, estate planning, legal and tax advice, and investment management
services.

The goal of wealth management is to sustain and grow long-term wealth. The net worth needed to
qualify for wealth management services vary among institutions, but the net worth threshold typically
starts at about $20 million. Also, depending on the institution, the range of services available is highly
customizable in order to meet the specific needs of the client.

Why Does Wealth Management Matter?

Wealth management clients are highly sought after by financial institutions and financial service
companies. Many banks that combine traditional banking and wealth management services have
specialized sales and service teams to specifically cater to wealth management clients.

Investment Banking:

The best investment bankers excel at managing

businesses' finances and persuasively
negotiating complex multi-billion-dollar deals.
They are adept at leveraged buyouts and at
helping clients resist attempted hostile
takeovers. Investment banking can provide
considerable excitement from time to time, but
also consists of periods of relative inaction.

Investment bankers must be able to understand

the important industry-specific factors that drive
the success or failure of a business. While
market analysts are experts are evaluating
stocks, investment bankers must be experts at
the fundamental evaluation of businesses.
In addition to having a solid head for numbers
and basic accounting, investment bankers must
also be able to think creatively to devise the best
possible means of arranging financing and structuring business deals.
 DR. DR. FILEMON C. AGUILAR MEMORIAL COLLEGE OF LAS PIÑAS
Golden Gate Subd., Talon III, Las Piñas City
Tel No. 403-1985, 478-8671, 519-1960

In terms of the actual functions within investment banking and the job responsibilities of investment
bankers, there are two types of investment banker positions: account managers and operations
specialists. Account managers act in the lead position of developing and maintaining relationships
with clients and seeing that their needs are properly met. Operations specialists execute investment
banking services, such as an IPO or stock buyback.

Application: Try to visit the website of BPI and observe their wealth management products and
services.

BPI has its wealth management for individual and institutional investor.

Summary:
 DR. DR. FILEMON C. AGUILAR MEMORIAL COLLEGE OF LAS PIÑAS
Golden Gate Subd., Talon III, Las Piñas City
Tel No. 403-1985, 478-8671, 519-1960

This topic discussed the concept of wealth management which simply means management of money
which is the combination of financial planning and special financial services. The main goal of wealth
management is to for long-term wealth and sustainability.
 Wealth management is an investment advisory service that combines other financial
services to address the needs of affluent clients.
 A wealth management advisor is a high-level professional who manages an affluent
client's wealth for one set fee.
 Affluent clients benefit from a holistic approach in which a single manager coordinates
all the services needed to manage their money and plan for their own or their family's
current and future needs.
 This service is usually appropriate for wealthy individuals with a broad array of diverse
needs.

Activity/ Evaluation: 10 points

Explain your answer with justification.
What are the current trends in wealth management this pandemic?

Reinforcement:
Read about financial markets.

REFERENCES:

https://www.investopedia.com/terms/w/wealthmanagement.asp

https://investinganswers.com/dictionary/w/wealth-management

https://www.bpiassetmanagement.com/pages/wealth-management/