Financial Planning or Investment Management?

From time to time it's always good to review and, perhaps, re-examine the different services Flatirons Wealth Management provides to its clients.  One common area of confusion exists when trying to understand the difference between financial planning and investment management.  While some clients may be "Investment Management Only" clients, others are both and a few are "Financial Planning Only" clients.  So which are you?

Perhaps the easiest way to understand this is to start by saying investment management is a subset of financial planning.  Investment management concerns itself only with the management of investment accounts.  It's the buying and selling of stocks, bonds & mutual funds on behalf of clients. 

Financial planning, meanwhile, is the ongoing process that helps create and manage a plan to reach your financial goals.  It's a discussion of objectives and the implementation of a plan to reach them.  While a financial plan will likely include discussion and recommendations around buying and/or selling securities - i.e. investment management, it will include much, much more.  Indeed, financial plans may cover topics including cash flows/budgeting, education planning, employee benefits, tax management, retirement planning, insurance, and finally estate planning.  

To summarize, a financial plan includes a discussion of all aspects of your financial life; investment management concerns itself with just one.  Not sure what service you've signed up for with Flatirons Wealth Management?  Want to discuss making a change?  Or are you interested in getting started with one or the other?  Send me a note and let's discuss more.