Wealth management "manufacturing"

Delivering more value?

M. Dubosson, E. Fragnière, N.S. Tuchschmid

Research output: Contribution to journalArticle

Abstract

Academic literature on wealth management is often devoted to portfolio optimization. It is important to remember, however, that wealth management exists as a way for financial institutions to cater to wealthy clients. The discipline of services marketing teaches us that a service will generate a profit if clients perceive it as sufficiently valuable that they are willing to pay for it. The business model of wealth management has long been grounded on "hidden fees." Increasingly stringent regulations have imposed greater transparency of these fees. Additionally, investors have become more sophisticated and expect sound expertise from wealth managers. This article conducts a thorough literature review related to the production aspects of wealth management. The authors then describe the investment process schematically as it has been adopted by most "industrialized" wealth management entities. They conclude with several arguments that could lead to new research directions in wealth management.
Original languageEnglish
Pages (from-to)48-59
Number of pages12
JournalJournal of Wealth Management
Volume11
Issue number4
DOIs
Publication statusPublished - 1 Mar 2009

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Manufacturing management
Wealth
Fees
Expertise
Transparency
Financial institutions
Managers
Research directions
Investors
Investment process
Services marketing
Profit
Portfolio optimization
Business model
Literature review

Cite this

Wealth management "manufacturing" : Delivering more value? / Dubosson, M.; Fragnière, E.; Tuchschmid, N.S.

In: Journal of Wealth Management, Vol. 11, No. 4, 01.03.2009, p. 48-59.

Research output: Contribution to journalArticle

Dubosson, M. ; Fragnière, E. ; Tuchschmid, N.S. / Wealth management "manufacturing" : Delivering more value?. In: Journal of Wealth Management. 2009 ; Vol. 11, No. 4. pp. 48-59.
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