What Is a Wealth Strategy?

Depending on your interest level in the financial sector, you may or may not have heard of the term wealth strategy. As the name suggests, a wealth strategy is a plan or timetable for building wealth.

Now, there’s quite a lot that goes into this term. It incorporates investments, returns, cash flow, equity, and long-term planning. The goal is to create a plan that leads toward long-term wealth. For example, many families have a strategy to ensure that money is handed down through the generations.

Creating a Wealth Strategy

As with any financial strategy, it is essential to consider approaching an expert to help make the best decisions. However, there is never any harm in doing independent research to support a plan.

The first step in wealth strategy creation would naturally be deciding on a goal. What do you envision for this plan? Is there a lifestyle you’re hoping to achieve? Or are you hoping to help future generations?

Next, it is beneficial to determine which financial niche one wants to start with. There are many different investment options, but primarily there are four: business, real estate, equities, and commodities. While many will eventually opt to diversify their wealth and investments when starting, it doesn’t hurt to narrow the focus.

Finally, don’t forget to plan ahead. Consider details such as taxes. While this might seem minor, it will become a more significant concern as wealth accumulates. Having a tax strategy in place ahead of time will simplify this process.

Types of Wealth Strategies

There are countless types and forms of wealth strategies. In truth, they can be as customized or as generic as one would like. Typically, a person, family, or institution will use several different wealth strategies at once.

Types of wealth strategies include personal investment plans, family investment plans, and generational plans. Likewise, risk management strategies frequently come into play with contingency plans.

While a new wealth strategy may not include much diversification, it eventually happens. Creating multiple avenues for income always makes an investment fund safer, including long-term investments.

One way to increase the potential for any wealth strategy (beyond hiring experts) is to stay up to date. This means being willing to learn new information and skills, especially with finance.

ABOUT SUMIT SELLI

Sumit Selli ACA is a London, UK-based Accounting and Advisory professional and a Partner at LAS Group. In his role with the firm, he specialises in wealth preservation, business consultancy, and tax preparation and planning strategies. As a Partner, Sumit works closely with clients to ensure strong relationships with clients and stakeholders alike.

LAS was created on the belief that financial planning and money management should come with peace of mind. At LAS Group, the team values Integrity, Consistency, Agility, Resilience, and Caring for all of their clients, always striving to progress and perform “above the line.” Together, the small yet specialised team works to deliver success to their clients with regards to all of their accounting, business advisory, and taxation needs to offer a holistic approach to accounting and financial planning.

The team at LAS Group offers various financial and accounting services, including Compliance and Reporting, Due Diligence, Consultancy and Restructuring, Technology Implementation, and Specialist Tax Services, the lattermost of which includes Mergers and Acquisitions, inheritance tax planning, and property taxes, among others.

As a professional operating in the financial industry, Sumit Selli knows the importance of money management and the value a financial consultant can have when it comes to financial planning. There can be a lot of perceived mystification surrounding personal financial management, and Sumit wants to make the process digestible for all investors. He has defined himself as a leader with expertise in accounting, payroll, tax preparation, investment and project management, wealth management, business strategy, finance, cash flow, negotiation, and bespoke tax planning. Sumit regards Richard Branson as one of his greatest inspirations and works hard to define his own path as an entrepreneur.