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Real Estate – Wealth Management vs. Portfolio Management – Is There Any Difference?

One of the most common misconceptions in real estate management is that wealth management and portfolio management are synonymous. Although there may be similarities, both terms are entirely different.

When we talk about real estate wealth management, we deal with personal wealth and assets on an individual level. And wealth managers are financial advisors that help individuals achieve their financial goals.

On the other hand, real estate portfolio management focuses on analyzing investment strategies. Portfolio managers are responsible for selecting the appropriate real estate investments to be added to someone’s portfolio.

What is Real Estate Wealth Management?

Real estate wealth management focuses on managing and enhancing an individual’s financial situation by protecting financial wealth through estate planning and much more. If an executive or wealthy individual has assets and estates that need to be managed—it would be in their best interest to hire a wealth manager or real estate financial manager.

The wealth management professional will help oversee and manage the individual’s real estate and create a strategy that will maximize and enhance the said assets to improve the individual’s financial situation for financial security. Aside from real estate, wealth management also deals with:

  • Tax planning
  • Education planning
  • Charitable donations
  • Retirement planning
  • Insurance
  • Legacy planning

Wealth management, in a nutshell, is managing your finances to maximize your benefits and plan for a secure future.

What is Real Estate Portfolio Management

A real estate portfolio is the list of real estate assets you invested money on. And real estate portfolio management focuses on making decisions regarding your past and future investments. Hiring a professional real estate portfolio manager can help you make better investment decisions, such as the proper allocation of investments.

Managing your real estate portfolio will help you balance out the risks analyze the strengths, weaknesses, and opportunities of future investments—allowing you to make optimal decisions for a higher return.

Although many individuals have no trouble managing their portfolios on their own, hiring professional portfolio managers with tons of experience in real estate is your best bet if you want to follow low-risk investment patterns that can ensure faster ROI.

Portfolio managers help clients by:

  • Assisting them in developing the right portfolio that matches the client’s personality and interests
  • Studying market trends daily
  • Determining the investment goals of each client
  • Finding innovative ways to manage real estate portfolios
  • Analyzing the client’s income and financial background
  • Advising clients with the best strategies and opportunities to make more income from their investments

GUIÓN PARTNERS

Whether you need help managing your real estate wealth or portfolio, GUIÓN PARTNERS can help you make the most of what you own and help you invest in luxury real estate. We can help you with all your real estate wants and needs for a better, brighter, and more secure future.

So if you need financial advice regarding your real estate or investment property, we are one call or email away.

References:

  1. https://www.quora.com/What-is-the-difference-between-a-portfolio-manager-and-a-wealth-manager
  2. https://www.invest19.com/blog/difference-between-portfolio-management-and-wealth-management/
  3. https://www.wallstreetoasis.com/forums/whats-the-difference-between-re-portfolio-manager-vs-re-asset-manager