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Corporate Finance Versus Wealth Management

When companies are looking for benefits for their capital, there are many formulas to get it if we talk in terms of investment products

Some of these forms is the corporate finance policy. When speaking of this, it makes the pursuit of maximizing shareholder value through an analysis of what value-added projects should receive funding through the heritage itself or through debt.

Capital management of corporate money funds have much to do with the short- term assets and liabilities.

The maximum order of this type of investment policy is based on greater business face value to shareholders while investing in projects that will provide income in the medium and long term and help the sustainability of own company.

Corporate Finance Versus Wealth Management

On the other hand, traditionally, companies and many families have chosen to search for that return out of the ordinary but betting on investing in formulas such as wealth management business processes.

In this investment type, the advantage is that you also have advice, not only at the time of choosing diversified investment  products of the portfolio, but also from a tax and legal advice that will maximize the benefits of each performance.

The main advantage in the wealth management option, moreover of complementing the investment, is to be able to go with experts that will help you to equilibrate your benefits in the best possible way.

The truth is that, any type of investment has some risks that almost every company and particular should be able to afford. With the Wealth Management this risks are minimum as they try to diversification all the contents.

Companies have a lot to say about this. It is necessary for them a viability in the short and medium term, but also to settle the long term and, for this, they have to invest. Choose between one type of investment or the other one will depend on the available assets they have.

There are also many other type of investment, but the main difference between corporate finance versus wealth management is based on the goals of the company through some internal decisions or if the heritage and economical assets are given to an expert to manage their portfolio.