Comprehensive wealth management is a financial principle that typically applies to the highest earners in society. Because of that, the term can alienate people without the same kind of financial cushion.
Yet the truth is that wealth management tactics can be helpful for anyone who wants to be a little smarter with their money.
Ana Fajardo is a successful entrepreneur who has helped her clients invest, save, and plan for comfortable retirements. She was able to do it for even the most modest of salaries. She has a few tips to get your strategy down pat.
Before you can decide how to manage your daily finances, you should know what you’re willing to risk. Investment can be made with pennies to get started, so it’s not a question of whether you have enough money — only what you’re willing to give up.
Some people are happy to put their money into high-risk, high-reward ventures, especially if they feel like they have time to make up losses in the future. Others will find that the anxiety isn’t worth the potential profits (a sometimes precarious balance that should never be discounted by a good wealth manager).
Ana Fajardo works with teachers, individuals, and businesses and she makes it a point to customize her advice so she’s not pushing people into a situation that will cause them undue stress.
Coincidentally, she encourages clients to leverage risk to build a portfolio that pays off in the long run.
Once people have a solid foundation, wealth management should be micro in nature. It could be as simple as clipping a coupon or going to the gas station across the street. Even high net-worth individuals shouldn’t be wasting money (even if they feel like they can).
The more people can conserve, the more they’ll be able to spend on what really matters to them.
Fajardo says that financial planning shouldn’t be rooted in denial. Instead, the strategies should rely on proven tenets that encourage better decision-making for short- and long-term stability.
She counsels her clients based on their background and future desires. As a Sr. Retirement Specialist, she’s well aware that a teacher will have a different portfolio than an entrepreneur with four businesses under their umbrella.
So even if their goals are relatively similar (e.g., live in their paid-off home, lead a modest lifestyle, etc.), they’ll likely take a much different path to get to the same destination.
Scale Your Wealth
Ana Fajardo has her work cut out for her, but she wouldn’t have it any other way.
Helping clients with finances is ultimately a way to help them lead better lives. Besides, retirement means different things to different people, her job is to look after the profit margins so her clients don’t have to.
Whether a client wants to travel around the world, learn how to repair classic cars, or land a part-time job in a winery, achieving it will take daily commitments. Ana Fajardo considers herself privileged to play even a small role in getting there.