Wealthy investors may have more money, but that doesn’t mean they use vastly different investment strategies than your other clients.
In fact, all investors nowadays are looking at using similar capital preservation, hedging and portfolio-diversification approaches, says MarketWatch.com, which is partly because “specialized boutique firms have branched beyond their high-net-worth bread-and-butter.”
They now offer similar services and advice to retail customers through easily traded vehicles like ETFs, it adds. So, the question is: why aren’t all of your clients on the fast-track?
Read: Aggressive strategies and your own risk tolerance
Industry experts told MarketWatch the real difference between average and wealthy clients is the latter tend to have deeper financial knowledge. They’re confident about their investments choices, understand the market and are generally more willing to stick to their plans.
Read more on three of the core strategies wealthy clients favour.
Also read:
Canadians more confident than Americans
Do your clients make these mistakes?