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Integrated Wealth Services: A Comprehensive Approach to Managing the Financial, Legal, and Personal Needs of Wealthy Families

Managing the wealth of a high-net-worth family is a complex process that requires a holistic approach. Integrated Wealth Services(IWS) is an approach that brings together a team of experts from different disciplines to create a customized plan that addresses the specific needs and goals of the family. In addition, IWS aims to help families preserve and grow their wealth over multiple generations while addressing the non-financial aspects of their lives, such as family dynamics and values.

Like a good recipe, a successful wealth management plan requires a balance of ingredients. And just like a good recipe, sometimes it takes effort to know what to add or how much. That’s where Integrated Wealth Services comes in; it’s like having a personal chef for your wealth management.

Advantages of Integrated Wealth Services

There are several advantages to using IWS to manage wealthy families’ wealth. The holistic approach of IWS considers financial and non-financial aspects of the family’s life, such as family dynamics, values, and legacy. This ensures the family’s financial planning needs are addressed cohesively and consistently.

Equally important, Integrated Wealth Services provides customized solutions tailored to each family’s needs and goals. This allows for more effective and efficient use of the family’s wealth. Additionally, Integrated Wealth Services helps families preserve and grow their wealth over multiple generations by developing strategies for protecting and growing the family’s assets while addressing potential risks. It’s like having a personal trainer for your wealth, ensuring it stays in shape and reaches its full potential.

Likewise, Integrated Wealth Services improves communication and coordination among the various professionals managing the family’s wealth. This leads to better decision-making and allows for more efficient use of resources. The family office is the primary point of contact, ensuring that all aspects of the family’s wealth are addressed cohesively and consistently. Like having a personal assistant for your wealth, ensuring everything runs smoothly.

Integrated Wealth Services also aligns the family’s wealth management with their values and goals, leading to greater fulfillment and satisfaction. Ensuring that the family’s wealth is being used in a way that aligns with their values and goals is a crucial aspect of preserving wealth over multiple generations.  It’s like having a personal stylist for your wealth, ensuring it always looks its best.

According to UHNW Institute, there are four levels of Integrated Wealth Services :

1: Basic Coordination and Communication – This level involves coordinating and communicating with the family’s existing advisors.

2: Enhanced Coordination and Communication – This level involves forming a team of advisors, led by a family office, that work together to provide IWS.

3: Integrated Wealth Services – This level involves the formation of a family office that provides all the services needed to manage the family’s wealth.

4: Family Governance and Education – This level is the highest level of IWS. It involves managing the family’s wealth and providing education and guidance to the family members.  It will teach family members how to manage and preserve wealth over multiple generations.

It’s worth noting that these levels are not meant to be seen as a one-size-fits-all. Different family office providers may have different levels or different names for these levels.  However, the idea is to offer different services based on the needs and complexity of the family. To conclude, IWS is a holistic approach that provides customized solutions for managing the wealth of wealthy families.