However, there is a shift in the international adviser landscape which means that nowadays clients not only in the US but all over the world are beginning to benefit from a new approach to cross-border financial advice in which the adviser has more time to focus on the things they are best at.
For example, whereas 20 or even 10 years ago advisers were reluctant to relinquish control of their clients’ portfolios, they are increasingly accepting of the role of the Discretionary Fund Manager, a financial services professional who can bring an additional and specialised skillset to the table, allowing advisers to get on with what they do best: understanding a client’s goals and circumstances in order to connect them with what is likely to work best for their individual needs.
And the great news for the average investor is that DFMs are no longer the exclusive preserve of super wealthy elite.
However, getting this message through to investors is proving difficult. According to a recent survey nearly half of all professional advisers still see the DFM as a privilege of clients with larger investment pots.
The value of a DFM has perhaps grown in the age of the “robo adviser”. DFMs are actual humans rather than glorified algorithms. This means they can sensitively cater portfolio management to the investment needs of the client as outlined by the adviser, providing a full range of multi-asset solutions, even for clients who do not have high-end six- or seven- figure sums to invest. This is not to say that technology doesn’t have role – it does. It is simply that technological solutions should always be secondary to the work of the humans involved – i.e. the client, the adviser and the DFM.
This is not to say that a DFM is the solution for everybody – but for clients who require cross-border financial advice it is one of the important options on the menu.
Blacktower FM, International Wealth Management Expertise
Blacktower can help you structure your wealth and develop your retirement planning strategy while all the time remaining considerate of your unique cross-border financial concerns, including your obligations and interests in your country of origin.
For more information about us and how we may be able to help you effectively manage your wealth and retirement planning in the US contact us today.
This communication is for informational purposes only and is not intended to constitute, and should not be construed as, investment advice, investment recommendations or investment research. You should seek advice from a professional adviser before embarking on any financial planning activity. Whilst every effort has been made to ensure the information contained in this communication is correct, we are not responsible for any errors or omissions.
Investment advice and investment advisory services offered and provided through Blacktower Financial Management US, LLC. This communication is for informational purposes only based on our understanding of current legislation and practices which are subject to change and are not intended to constitute, and should not be construed as, investment advice, tax advice, tax recommendations, investment recommendations or investment research. You should seek advice from a professional before embarking on any financial planning activity. Whilst every effort has been made to ensure the information contained in this communication is correct, we are not responsible for any errors or omissions.