WELTH MANAGEMENT(Wealth

management is an investment advisory discipline that incorporates financial planning, investment portfolio management and a number of aggregated financial services. High net worth individuals, small business owners and families who desire the assistance of a credentialed financial advisory specialist call upon wealth managers to coordinate retail banking, estate planning, legal resources, tax professionals and investment management. Wealth managers can be independent certified financial planners, MBAs, CFAs or any credentialed professional money manager who works to enhance the income, growth and tax favored treatment of longterm investors. One must already have accumulated a significant amount of wealth for wealth management strategies to be effective. Wealth management can be provided by large corporate entities, independent financial advisers or multi-licensed portfolio managers whose services are designed to focus on high-net worth customers. Large banks and large brokerage houses create segmentation marketing-strategies to sell both proprietary and nonproprietary products and services to investors designated as potential high net-worth customers. Independent wealth managers use their experience in estate planning, risk management,and their affiliations with tax and legal specialists, to manage the diverse holdings of high net worth clients. Banks and brokerage firms use advisory talent pools to aggregate these same services. "The fallout of the events of 2008 has produced a high level of skepticism and distrust among investors, and they will demand greater transparency from their providers to understand what they own, the value of their investments and associated risks"[citation needed]. For this reason wealth managers must be prepared to respond to a greater need by clients to understand, access, and communicate with advisers regarding their current relationship as well as the products and services that may satisfy future needs. Moreover, advisors must have sufficient information, from objective sources, regarding all products and services owned by their clients to answer inquiries regarding performance and degree of risk-at the client, portfolio and individual security levels. Today wealth management advisors must have access to an objective content repository. This repository must contain a current and readily available profile of the clients holdings.)INTRODUCTION:Management is what a manager does "the statement given by Louis Allen has very broad and meaningful meaning. Though we all know that 'Manage' is nothing but to forecast and plan, to organize, to command, to co-ordinate and to control. The eminent writer and management guru William Spriegal has given very valuable definition that 'Management is that function of an enterprise which concern itself with the direction and control of the various activities to attain business objectives. Management embraces all duties and functions that pertain to the initiation of an enterprise; it's financing the establishment of all major policies and the provisions under which the organization is to be run and the selection of the principal officers'. In the general view the word management is form with Manage + Men + 'T' where 'T' stands for the factor time.

The term wealth management also now a days having very importance. So many Banking companies are engaged in the business of wealth management. The premier insurance industry is now booming because so many bankers are also adopting and playing safe in the business of insurance the term called is Bancassurance. Now a days wealth Management has very craze in the business world. In a survey it was found that India had 100,000 milliners day end of year 2006 is now grow up by 21% from a year earlier (Asia pacific wealth report). CONCEPT OF WEALTH MANAGEMENT: The term wealth management formed with two words wealth & Management. The Meaning of Management we have already seen in the steering introduction. The meaning of wealth is Funds, Assets, investments and cash it means the term wealth management deft with funds Asset, instrument, cash and any other item of similar nature. While defining wealth Management we have to think in planned manner. "Wealth Management is an all inclusive set of strategies that aims to grow, manage, protect and distribute assets in a much planned systematic and integrated manner. " MIDDLE EAST & WEALTH MANAGEMENT : In this globalized era Middle East countries have huge wealth management need. There are two types of wealth management institutions. They are:(1) Private Banks (2) Family Offices, engaged in the business of wealth management in Middle East. For our information the wealth management institute (WMI), the first center of excellence for the wealth management education in Asia was established in Singapore in the year 2003. The wealth management Institute (WMI) is providing professionals for wealth management with a nice combination of learning and practical training. The aim of WMI is to establish Singapore as the Asian hub for wealth Management. Where Pvt. Banks and Family Offices are discussing about the strategies to capture the wealth management business in the Middle East. The global institutions are looking towards the Middle East to grow their wealth management business and attracting the big business houses by their attractive service providing facilities. Tapping in to the Middle East market it is very crucial for private banks and private wealth managers, the entry and increasing market share is not very easy task for them but they are fighting. The Middle East region has become very highly competitive over the last five years. Local banks now competing with international banks. WEALTH MANAGEMENT RANGE: - The range of wealth management can be expressed by this exhibit chart.STUDENT START OF CAREER CAREER ESTABLISHED * Premium A/c * Platinum Card * * * * * * * * * RETIREMENT * Premium A/c * Platinum Card

* Deposit based comfort A/C * Comfort A/c with credit limit * Credit cards * Gold Card Liquidity * Overnight money A/c Management * Money Market & Fixed Income Fund (Cash Mgt) * Near Money Market Fund * ZINS Plus

Overnight money A/c Money Market & Fixed Income Fund Near Money Market Fund ZINS Plus Special Investments * Top portfolio * Flagship portfolio * Titan portfolio

Wealth Formation (Savings Plans)

* Top portfolio * Flagship portfolio * Titan portfolio

Top portfolio Flagship portfolio Titan portfolio Capital formation benefit funds

Wealth Optimization (Lump sum Investment)

* * * * * *

Absolute Return Portfolio Holding and Private Equities Modular Wealth Management Individual Wealth Management Premium Portfolio Titan Portfolio

WEALTH MANAGEMENT : INDIAN CONCERN :Some times people confuse asset management or financial management with the wealth management. But wealth management has very broad area. Position of India in Wealth Management :In the annual survey done by Cap Gemini, SA and Merrill Lynch it was found that ranks of millionaires grew 6% in the previous year, because the number of richer people grew in India & China where India is competing China. India & China posted the biggest gain in millionaires advancing by 23% & 20% respectively. When we are watching the world wide increase in number of millionaires the facts collected by Cap Gemini, S.A. and Merrill Lynch survey report. India has 23% growth in the last year. The biggest Asian economy China stands on second position with 20%, west Asia 16%, United States 4% and United Kingdom (UK) 2%. So we can understand that there is more opportunities in the wealth management business in Asia specially in India. ICICI BANK & WEALTH MANAGEMENT : In India ICICI bank and Axis-Bank are very well known banks in the field of wealth management. ICICI Bank will float subsidiary for the purpose of WM activities in Canada & other market even as ICICI has rolled out ICICI Group Global Private Clients for those with net worth of $ 1 million or more. ICICI GCPC launched their business in Dubai very recently in the month of April-08 and caught 2500 clients. They are going to add another 1000 high network clients this year. ICICI Bank is using the services of global players like Merrill Lynch, City group, and UBS for catching the clients for Wealth Management business. ICICI Bank and its subsidiaries are engaged in the development of various attractive products (services) for the clients with net worth of $ 1 million. The eyes of ICICI Group Global Pvt. Clients on the rising number of dollar millionaires at present they are 100,000 in number in few year the number will definitely increase. India's No.2 lender banker ICICI expects to sustain the 70% growth in its private wealth management business. ICICI has 150,000 customers with investible surplus of at least Rs. 10 lakhs equity, real estate and private equity is driving the private banking business in India. India has market of wealth management about $ 600 billion. AXIS BANK & WEALTH MANAGEMENT One of India's leading private sector banker Axis bank also combined with Banque Privee Edmond de Rothschild Europe based wealth management expertise institution & is going to make new standard for the NRI's wealth management. The LCF Rothschild group has based its reputation in the area of wealth management on its big banking experience. Actually the institution is engaged in the task of providing financial advise to the Europe's leading families, Government and various corporations for the last '7' generations. The Axis Bank 5th largest bank by market capitalization in India provides payroll services to over 12000 corporates across 2.8 million salary accounts. The market capitalization of Axis

Bank was 235 million in the last year 2007 is engaged in the business of wealth management, with its international presence in Dubai, Singapore Hong Kong, Shanghai and so on. SERVICES PROVIDED BY WEALTH MANAGEMENT INSTITUTIONS :(1) Custodian Services:(A) Securities Safekeeping (B) Income collection from Securities (C) Settlement of Securities trades as directed (D) Payment of fund when directed (E) Timely settlement delivery (2) Trust Services:(A) Charitable Trust (B) Revocable Trust (C) Irrevocable life Insurance Trust (D) Special Need Trust (E) Institutional Trust (3) Retirement Plan Services: (A) IRA's Custodian Or Trustee (B) Defined Benefit Plans (C) Defined Contribution Plans ADVANTAGES: The following are the advantages of wealth management concept. 1) Helpful In Tax Planning : The wealth management professional always shows the good path to the customers and provide the service of tax planning. How to minimize the tax and save more money? 2) Helpful In Selection of Investment Strategy: Another advantage from the customer point of view is with the help of WM Professional the customer can easily know the investment strategy and analyze risk and return. 3) Helpful In Estate Management: With the help of wealth management professional we can also manage our estate. Estate management is a task to provide objective administration of our funds tailored to aim in responsible distribution and protection of our overall estate. 4) Helpful in forward looking: We can say planning, that recognizes as our estate grows and changes occurs we require some team of professionals who help us in future planning. 5) Helpful for Indian Economy: Banks which are engaged in business of WM earning revenues from the foreign countries i.e. outsourcing for economy LIMITATIONS 1. WM Reduces The Scope Of Management: Though we all know that management has existence at all levels of life and society but the term wealth management only related with the higher level means rich people, and is not having any plans and provisions for poor and lower and middle level of society. 2. Chances of Fraud: Another demerit or limitation of the WM concept is it is not showing the actual position. The customer doesn't know about the things going on with using his wealth and there may be chances of forgery and fraud with customers.

3. Actual Picture VS Inflation: What is the actual position of market we don't know because every thing is done by some WM professionals. So we can not assume our position in the market that also results in inflation because economy is unknown about the actual state. There may be chance that the customers are in risk but they are showing the false return and vice-versa. CONCLUSIONS: After studying the overall concept of wealth management we can say that it has various aspects some are favorable and friendly for the Indian economy and some are very dangerous for the Indian economy. The customers have to beware and they have to make SWOT analysis before choosing the wealth management option. At present Indian Economy is facing a lot of trouble by increasing inflation by 11.05% and hike in fuel prices in the Indian as well as international market. As per Indian concept wealth management can not success in India. But if Indian financial institutions are engaged and choosing the WM business in foreign countries, most probably middle-east countries, it may be some relief for the downward moving Indian economy. Reference: Business Standard (News Paper). Delhi. Economic Times (News Paper). Delhi Financial Express (News Paper). Delhi Deccan Chronicle (News Paper). Hyderabad Business World (Magazine). Delhi Business Economy (Magazine). Delhi Economic Political Weekly www.axisbank.com www.sbi.co www.icici.com www.pnb.com

Notwithstanding recessionary fears, the wealth management space in India [ Images ] is likely to see robust hiring this year as the sector is expected to witness a strong growth momentum, thanks to the increasing confidence level among investors. "The Indian Wealth Management space has evolved and most high net-worth individuals (HNIs) in India today have begun to appreciate the value of a professional approach to wealth management," Vikas Agnihotri Vikas Agnihotri, chief executive officer, Vikas Agnihotri said. Agnihotri added, "We have aggressive growth plans and are looking at increasing our relationship and advisory team significantly during the course of this year". Echoing similar views, D K Aggarwal, managing director, SMC Wealth Management Services told PTI, "We have robust recruitment plans ahead. We plan to double our wealth management headcount in the next one year." We have recruited around 70 people and plan to hire 100 more in the next one year's time. We plan to double our wealth management headcount to 200 in the next 12 months," he said.

SMC Wealth Management has regional offices in Bangalore, Kolkata [ Images ], Mumbai [Images ] and Delhi [ Images ] and plans to set up eight more offices in tier II cities in the next 10-

12 months. Giving reasons for high growth potential for the wealth management sector Agnihotri said, "world economy is recovering from credit crisis and we have more positive news trickling in these days. While we are still far away from a recovery, a sense of optimism is returning to financial markets". Asia has been growing at a faster pace than the rest of the world and it should continue to lead on the way to recovery as well. Within Asia, China and India have been and will continue to be the strongest drivers of growth, he added. According to market experts, wealth management business in India will see growth and a fair bit of consolidation. The firms that survive will have to differentiate themselves. Product innovations, better service, efficient use of technology and trained manpower will be key differentiators in the wealth management business going forward. SMC Wealth Management's Aggarwal further added things are changing now a days and confidence is coming back among investors. Both foreign institutional investors and domestic institutional investors are investing in equities. Besides, for India the outlook looks promising as it is a consumption driven economy, besides agriculture, on which over two-third of population is dependent is booming. According to a report by investment banking firm Barclays Capital "China and India continue to be viewed as the most attractive markets in Asia, both in terms of potential for business expansion and expected revenue growth rate."

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