What's the difference between a wealth manager and a financial planner?
Neither "wealth manager" nor "financial planner" is a legally defined title in the United States. Anyone can use either term on a business card. The labels signal a service model, not a credential or legal duty. In common usage, "wealth manager" describes an advisor whose primary work is managing investment portfolios, often for clients with $1 million or more in investable assets, with planning bundled in. "Financial planner" describes an advisor whose primary work is comprehensive planning — cash flow, taxes, retirement, insurance, estate, and education — with investment management as one piece. The titles do not tell you about fiduciary duty, fee structure, or credentials. For that you have to look at the underlying registration and the firm's Form ADV.
What each title typically signals
Wealth manager.
- Investment-led practice.
- Higher minimums. Often $500,000 to $5 million in assets to engage.
- AUM-percentage fees, often 0.50% to 1.25% per year.
- Planning included as part of the relationship.
- Common at private banks, regional advisory firms, and large independent RIAs.
Financial planner.
- Planning-led practice.
- Lower or no asset minimum.
- Flat retainer, hourly, or project-based fees more common alongside (or instead of) AUM.
- Investment management included as a downstream piece.
- Common at fee-only RIA boutiques, NAPFA member firms, and XY Planning Network firms.
The labels that DO carry legal meaning
When you read a business card, the titles to take seriously are:
- CFP®. Certified Financial Planner. Curriculum-tested credential. Fiduciary obligation under CFP Board rules.
- CFA®. Chartered Financial Analyst. Investment-analysis-heavy credential.
- CPA / PFS. Personal Financial Specialist track of the CPA credential.
- IAR. Investment Adviser Representative. The license that allows the person to give fee-based advice for an RIA.
- AIF® / CFP® Fiduciary Practitioner / NAPFA member. Voluntary affiliations that signal fiduciary alignment.
A "Senior Wealth Strategist" with no underlying credentials is a marketing title.
How to read past the title
Two checks tell you what you actually have:
- Form ADV Part 2A Item 4. Describes what the firm actually does — investment management, financial planning, both, or product brokerage.
- Form ADV Part 2A Item 5. Describes how the firm is paid. Fee-only language plus an absence of commissions tells you the fiduciary duty is structurally clean.
If the firm is fee-only and the advisor is a CFP at an SEC-registered RIA, the title does not matter much. If the firm is fee-based and the advisor is a Series 7-licensed broker, the title matters even less — they are a salesperson under Reg BI regardless of what the card says.