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A Master’s in Trust and Wealth Management (TWM) prepares graduates to work in financial institutions that serve the needs and preferences of the wealthy. Trust or wealth managers will administer property holdings, develop sophisticated tax plans, engage in financial planning and provide clients with estate planning strategies. These degree programs should prepare students to sit for the CFP certification exam after graduation.
Degree Students
The ideal student has an accredited college degree and adequate employment experience working for a private trust, banker or broker. Most students have a formal education related to finance, but not a formal work background in the subject. The most common undergraduate degree specializations among students are financial planning, trust administration and investment planning and management. Most programs will require students to submit resumes, references forms and SAT, ACT, GRE or GMAT scores.
Some students are business administration graduates who want to expand to the field of finance. Some students are CPAs and attorneys who want to focus their practice on tax, estate and financial planning. Regardless of the academic background, this degree program will enable graduate students to succeed in wealth management through learning about compliance, insurance, trust sales, tax loopholes, risk management, personal financial planning and estate administration.
First Year Coursework
During the first year, students will take basic classes related to wealth and investment management. Classes on investment and security analysis will train students about market efficiency, account anomalies, security valuation, bond fundamentals and asset pricing models. Projects may involve the analysis of actual equity, futures, options or common stock. Income tax coursework explores the rationale behind federal income tax laws and their potential impacts on individual tax situations.
Classes on portfolio management may focus on asset allocation, bond strategies, portfolio performance and market diversification. Coursework introduces students to the basic duties and liabilities of trustees by focusing on current industry trends and client expectations. Case studies will introduce how fiduciary breaches and mismanagement can cause financial losses and legal difficulties. Financial planning classes cover tax, risk, estate, retirement and investment management. Coursework on estate taxes teach practical techniques to minimize the impact of the tax laws, while maintaining compliance with detailed regulations.
Second Year Coursework
During the second and possibly third year, students will study advanced financial topics. Students will conduct a comprehensive analysis of the legal and regulatory environments facing wealth manager. Students will conduct in-depth research into important regulations such as OFAC, the Privacy Act and the Sarbanes/Oxley act. Other fiduciary administration regulations include the Income Act, the Uniform Principal, the Uniform Trust Code and the Prudent Investor Act.
Classes on retirement planning focus on current employer liability issues and trends using real-life scenarios. Discussion topics may include federal gifts, generation skipping, fiduciary income taxes and wealth transfer processes. Students will conduct a comprehensive analysis of risk management processes and impacts on individuals and businesses. A study of sales strategies for wealth management review product and service offering practices.
Most graduates of Trust and Wealth Management degree programs go on to obtain CFP certification. The best degree programs will be registered with the Certified Financial Planner Board of Standards.
See also: Top 10 Best Online Masters in Business Administration Degree Programs
