"I want to invest, but I don't know where to start…"

This is a phrase I often hear from Swiss executives and independents, aged between 30 and 55, who want to grow their wealth without necessarily becoming finance experts.​

Two main options are available to you: the management mandate and the advisory mandate. But what is the difference between these two approaches? And above all, which one is better suited to your situation?​

Understanding the two approaches

Management mandate: delegate with complete confidence

With a management mandate, you entrust the management of your portfolio to professionals. They make investment decisions based on your risk profile, your goals, and your investment horizon.​

Advantages:

• Time-saving: you don't have to monitor the markets daily.

  
  

• Professional expertise: your portfolio is managed by specialists.

  
  

• Regular follow-up: adjustments are made based on market developments.​

  
  

Disadvantages:

• Less control: you delegate investment decisions.

  
  

• Potentially higher costs: management fees may be higher than those of an advisory mandate.​

  
  

Advisory mandate: remain active in your investments

The advisory mandate allows you to benefit from personalized recommendations while retaining final control over investment decisions.​

Advantages:

• Personal involvement: you actively participate in the management of your portfolio.

  
  

• Tailored support: you receive advice suited to your situation.

  
  

• Flexibility: you can adjust your strategy based on your preferences.​

Disadvantages:

• Requires time: you must follow the recommendations and make decisions.

  
  

• Increased responsibility: performance partly depends on your choices.​

  
  

How to choose between the two?

The choice between a management mandate and an advisory mandate depends on several factors:​

• Available time: if you lack time, the management mandate may be more suitable.

  
  

• Financial knowledge: if you have investment knowledge, the advisory mandate may suit you.

  
  

• Desired level of involvement: do you wish to delegate or be active in your investments?

  
  

• Budget: associated fees may vary between the two options.​

  
  

Conclusion

Investing is an important step in securing your financial future. Whether you choose a management mandate or an advisory mandate, the key is to select the approach that best fits your profile, your goals, and your lifestyle.​

Do not hesitate to consult a wealth management advisor to assist you in this process and make the most informed choice.​