Wealth management expertise is being urgently sought by those pondering the effect of this year’s political maelstrom, with a renewed interest in obtaining fixed income expertise coming alongside. Interestingly, bridging finance options are also cropping up in our conversations with High Net Worth Individuals.
Politics is proving central to investors’ thinking
Historically, politics may not have been considered a topic for polite conversation, but issues of government are dominating everyone’s thoughts all the time now seemingly (albeit with good reason) and this is coming through strongly in our interactions with High Net Worth Individuals. People have a sense that things really could turn suddenly in any number of directions and render their existing investment strategies vulnerable to unseen risks.
For those who are worried about the implications of politics on their portfolios, we would advise relinquishing the rumination (which is pointless and exhausting) and focusing instead on planning a response to policy decisions – and that of course extends from investment decisions to pension planning and estates and wills too
Incredibly, almost half the world will go to the polls this year, making 2024 one of the most consequential in living memory. The US faces a stark choice between two radically different visions of the country’s social and economic future, as does the UK. We have already had ample examples of dramatic political pendulum swings having taken place all around the world and it is impossible to say with any certainty where things will stand at the end of the year.
For those who are worried about the implications of politics on their portfolios, we would advise relinquishing the rumination (which is pointless and exhausting) and focusing instead on planning a response to policy decisions – and that of course extends from investment decisions to pension planning and estates and wills too. Being able to change your strategy quickly depends on having an adviser in your corner who is fully apprised of the facts and decision trade-offs, and that means knowing your situation and needs intimately as well as being able to read the wealth landscape accurately too.
Investors want further backing on bonds
Wealth management experts from our panel firms have been arguing that bonds are back as a diversification tool and a returns booster after years of low yields. But while DIY investors can easily see the potential need to up the fixed income portion of their portfolios, many are saying they feel rusty or even rather like a beginner with the asset class due to years of underexposure.
This is now one of the most geopolitically tense periods in recent memory and serious economic, electoral and currency exchange developments are afoot all over the world. There is a much to be said for having bond experts in your corner in times like these
It is not uncommon for DIY investors to feel more engaged with and knowledgeable about equities compared to bonds, but to the expert analyst there is just as much to read the runes with in fixed income – if not more, for those who are able to do so. Being able to avail yourself of institutional-grade bonds research capabilities might actually be a very sound reason to try professional portfolio management, plugging a knowledge gap it’s not easy to fill while running a busy life.
This is now one of the most geopolitically tense periods in recent memory and serious economic, electoral and currency exchange developments are afoot all over the world. There is a much to be said for having bond experts in your corner in times like these.
Top Tip
Lee Goggin
Co-Founder
Interest in bridging finance bubbles up
It is often underappreciated how useful wealth management institutions, and particularly those which operate as private banks, can be when it comes to securing credit over and above their core investment management and financial planning offerings.
Private client mortgages are certainly something to explore if your financial situation is challenging for regular high street lenders to understand, since they are less bound by a ‘computer says no’ restrictive mindset and can take factors like annual bonuses or uneven business revenue streams into full account when assessing what your actual financial strength is. Lombard loads are another attractive option, allowing clients to borrow against their investment portfolio and stay invested to hopefully continue powerfully growing their wealth in that regard, while also unlocking significant credit lines.
The message is, don’t feel limited to standard credit options as there is a world besides for private clients to explore – often at very competitive rates and with a far more accommodative service than with mainstream banks
People seek private client finance for all kinds of reasons, but it’s been interesting to hear a desire for bridging finance being brought up a number of times recently in relation to property purchases. Buyers might need short-term finance for a variety of reasons: it might be necessary for individuals to quickly move on a certain property before another has sold; or the timeframes of a liquidity event may have suddenly shifted. Alternatively, there may be an international relocation or tax considerations driving a need.
The message is, don’t feel limited to standard credit options as there is a world besides for private clients to explore – often at very competitive rates and with a far more accommodative service than with mainstream banks.
Choose a provider quickly and well
As out Client Trends illustrate, there are services wealth managers can offer which many people overlook, private client credit options being one that can bring particular value to achieving your financial and lifestyle goals. That is the beauty of the kind of holistic service packages they construct for clients. Through us, a shortlist of best-matched providers come to you for direct comparison, taking all the heavy lifting away.
Save yourself time – and stress – by joining the thousands of individuals who have found their ideal wealth manager match through us.
Important information
The investment strategy and financial planning explanations of this piece are for informational purposes only, may represent only one view, and are not intended in any way as financial or investment advice. Any comment on specific securities should not be interpreted as investment research or advice, solicitation or recommendations to buy or sell a particular security.
We always advise consultation with a professional before making any investment and financial planning decisions.
Always remember that investing involves risk and the value of investments may fall as well as rise. Past performance should not be seen as a guarantee of future returns.
