Over the years, the entirety of your financial assets has grown to several hundred thousand euros. The overall progression of your holdings testifies to an investment strategy that has proven itself over the long term. But when balances rise significantly, it becomes more difficult to continue growing them. Does managing your portfolio feel complex or take up too much of your time? It may be time to consider methods other than self-directed management to grow your wealth.
What are the limits of autonomous wealth management?
The first constraint lies in the choice of investment vehicles. Individuals often invest, via ordinary securities accounts, equity savings plans or life insurance, in stocks, bonds, UCITS funds, ETFs… They do not have access to non-listed investments such as private equity (venture capital), private debt and infrastructures (public services, transportation, communication networks…).
The second obstacle related to autonomous management is tax optimization. The taxation of gains depends on several factors, including the type of investment, the tenure of the contract, the date of contributions, tax residency… The net yield of your invested wealth results from a complex calculation, all the more so since tax rules change regularly.
When you manage your assets on your own, you can be influenced by behavioral biases that may cause you to buy or sell at the wrong time. This can be due to overconfidence or, on the contrary, fear of losing. The familiarity bias leads you to invest only in familiar names. Susceptibility to external events encourages choosing recently favored assets or following a selling wave.
As for succession planning, it requires taking into account the legal and tax framework, the family composition and the household’s objectives. It is a long-term organization that goes beyond the simple choice of investments. It requires specific expertise and a holistic view of the wealth.
How to differentiate the three types of management: self-directed, advised and under mandate?
To better choose the management mode that meets your expectations, here is a comparative table focusing on time spent, variety of investments, their customization and their cost.
| Type of management | Self-directed management | Advised management | Managed under mandate |
| Time spent | Important: the choice of investments, placing orders and portfolio monitoring are your responsibility. | Moderate: you receive advice that helps you choose investments. Monitoring can be provided, under conditions. | Low: you agree to a precise framework that allows your agent to manage the investments. |
| Investment domain | You are free to explore multiple investment universes and products. | The diversity of domains depends on the advisory firm and the services offered. | It is the mandate that defines the possible investments and the limits chosen. |
| Personalization | Total: you decide on the portfolio composition according to available products. | Variable: recommendations are expected to adapt to your situation and objectives. | Variable: personalization of the envelope according to your profile and goals remains within the contractual limits established beforehand. |
| Cost | No management fees but possible placement, envelope and arbitration fees. | Placement, envelope and arbitration fees plus the cost of delegated management. | The cost includes placement, envelope and arbitration fees and the cost of delegated management under mandate, typically charged as a percentage of assets under management or with a fixed amount for a defined period. |
Who are the trusted players in private wealth management in France?
Several French fintechs stand out in the field of wealth management services:
- RockFi, a private wealth management firm that favors open architecture in selecting investment solutions;
- Ramify, which uses quantitative analysis to craft portfolio allocations;
- Goodvest, a company positioned in the field of responsible investing.
Founded in 2023 by Pierre Marin, the RockFi private wealth management firm brings together advisers from major private banks who have become partners and shareholders. By 2026, more than 70 associated advisers at RockFi had assisted 1,500 families with assets starting at 250,000 euros, for a total of 1.3 billion euros advised.
Frequently Asked Questions
Consulting a wealth management advisor is appropriate as soon as you feel difficulties managing your assets on your own, due to a lack of time or because of the task’s complexity. It is often difficult to stay in autonomous management once assets reach €250,000.
Yes, opting for advised management is a way to benefit from expert recommendations while remaining in control of the final decisions. No operation is carried out without your agreement.
In addition to advisory or mandate fees, the cost of support includes envelope fees tied to the type of contract that receives the investments, placement (or entry) fees and arbitrage fees when moving savings between two instruments. They vary according to the contract (advised management or managed under mandate) and the services offered.
The information from Cafedelabourse.com and its publications is provided for educational purposes. It does not constitute investment recommendations in any way. The reader must study the risks before carrying out any transaction. He is solely responsible for his investment decisions.
Past performance does not guarantee future results. Investing in equities carries the risk of capital loss.
All of our information is, by nature, generic. It does not take into account your personal situation and does not constitute personalized recommendations intended to carry out transactions, nor can it be equated to a financial investment advisory service, nor to any encouragement to buy or sell financial instruments. The reader is solely responsible for using the information provided, with no recourse against Cafedelabourse.com’s publisher. The publisher’s liability cannot be engaged in any case for errors, omissions or inappropriate investments.
