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Investment Management the Efficient Way

Arrowroot Family Office’s investment management services are specifically designed for ultra-affluent families and any related institutions. We strive to enable you to allocate capital to the personal, social, and familial motivations that are most important to you. It is not a secret that life and capital markets are ever-changing, and our advanced tools and our interactive process promotes flexibility while anticipating any unexpected obstacles. Our investment management solutions enable families to assess tradeoffs and make well-informed decisions about their investments. Our firm’s system provides intelligent reporting to help you understand the role, purpose, and return of each asset in your strategy.

Ensuring Your Peace of Mind

At Arrowroot Family Office, we have the strategy and the technology to make your investment management solutions as effective as possible – but without the right advisor to sit down and analyze the solutions, your investments may not be managed to their full potential. Each of our financial advisors have several years of experience in developing and monitoring a variety of investment management strategies for an array of clients with differing circumstances. A history in the financial services industry can only help your portfolio construction by providing a higher level of certainty towards your goals and needs, and with a trusted advisor by your side, we can also give you the peace of mind you need to feel confident in your investment solutions.

Investment management involves devising long-term and short-term plans to acquire and dispose of portfolio holdings. It also includes activities such as budgeting, banking, and tax services. Investment managers, also known as asset managers, are responsible for making clients’ money grow in order to help them achieve financial aspirations and goals. Investment managers also provide holistic advice on insurance, cash flow management, and estate planning. The main investment management services include stock selection, analysis of financial statements, asset allocation, and portfolio strategy.

The main Objectives of Investment Management

The objectives of investment management vary from one investor to another. The main aim of investment management is to meet financial goals. Some investment options may involve lock-in periods and high liquidity. In this case, clients look for an ideal way to park their funds if they wish to save for a short period to create emergency funds or funding for personal development, thereby achieving their financial goals. Another objective of investment management is to minimize the tax burden. Apart from capital growth, investment managers have the incentive to evaluate the investments and respective income tax. In addition, investment management seeks to keep money safe to prevent wastage. Investment management helps protect hard-earned money from being eroded with time due to extravagance uses.

Importance of Investment Management

Potential for Higher Returns

Although cash is perceived to be safer than shares, it is unable to grow in the long run without investment. Volatility in the stock market is not always associated with negative outcomes. It can offer investors an opportunity to buy shares at a lower price and get higher returns in the long run. Therefore, investment management helps in growing the client’s money so they can earn a high rate of return. Effective investment management creates an opportunity to explore the growth and potential markets to increase the value of client’s money.

To Meet Financial Goals

Investments are meant to save money and ensure investors receive higher returns in the long run. However, investing also helps in achieving both short and long-term goals without much stress and trouble. Businesses focus on expanding after a certain period, which creates the need for financial stability. Similarly, individuals have different financial needs, such as education or buying a home that they seek to achieve by saving funds. Therefore, investing in bonds, stocks, or mutual funds helps individuals and businesses to achieve their financial goals.

To Outperform Inflation

Inflation is a significant threat to an investor because it erodes the current real savings and future returns. Rising inflation also chips away from the value of principal on the income securities. Investment management helps to outperform inflation and allows clients to grow their income without inflation challenges. For investment savings to grow over time, the rate of return after tax must be greater than the inflation rate. In today’s economy characterized by low interests, it may be challenging to find a savings account with higher returns than the inflation rate. Therefore, investment management is essential to help clients outperform the market inflation rate.

Provides Regular Income

The majority of people approaching retirement depend on investment money as their regular income. Life after retirement becomes difficult since many people do not receive a monthly salary to sustain their daily needs. There is a range of investments that individuals can depend on, including bonds, equities, and investments, to provide regular income in the future after retirement. Individuals ensure effective investment management in order to cater to their needs after retirement.

Solves Financial Circumstances

The financial needs change over time, and emergencies are likely to occur. Investing sooner leads to faster growth of the investment money. Investment managers help clients solve financial problems, especially in a volatile market. With careful investment management, clients can tailor their portfolios to reflect their changing financial needs and priorities. For instance, individuals or businesses may be forced to use savings to solve emergency problems. Thus, effective investment management is essential to save enough money for emergency purposes.

Advantages of Investment Management

To earn a steady income

Effective investment management helps in earning a steady source of income. Investments that improve income include stocks of companies that pay investors directly or fixed deposits that pay out regular interests. Investment management provides steady income for unemployed, employed, retired individuals consistently, increasing the possibility of economic stability in the society. Effective investment management also acts as supplementary income by providing additional income to boost the national economy.

To grow money

People mainly save money to preserve it for future use. Investment schemes ensure that individuals do not outlive their savings. Government bonds and fixed deposits may not be effective in helping personal funds grow. Thus, capital appreciation can only result from effective investment management in either the short or long term. For businesses or individuals to make money grow, it is important to consider the best investment options that offer significant income returns. Although investment funds are associated with high risk, the return can be higher, leading to improved profitability and productivity.

Minimizes Tax Burden

Individuals paying high taxes for assets and investment properties receive a low income. Paying low taxes reduces the expenses incurred by an individual or a business when paying bills for different investment properties. Effective investment management acts as the best way to hold together assets and capital to ensure the tax burden is reduced. Companies pay more taxes through income tax on bank interest and capital tax gains during investments, which could both be reduced through effective investment management. Individuals living abroad may find assets that were tax-efficient in their home country highly taxable in their country of residence. Therefore, investment management ensures that investors reduce the tax bills resulting in more improved financial stability.

Types of Investments


The stock investment represents ownership shares in an organization. Gaining profits or losses from a stock depends on the success or failure of the business, the type of stock, and the changes in the stock market. Stocks are considered important components of an investment portfolio that help in saving and growing money.


Bonds refer to forms of loans investors offer to a federal agency, government, or a corporation in exchange for interest payment plus the principal after the maturity date. Bonds include treasuries, municipal bonds, corporate bonds, and agency bonds. Investing bonds involves a great risk of losing money, especially when selling an individual bond before it matures. The bond price can also fluctuate with time depending on the market, increasing the risk of loss. However, bonds are considered effective types of investment because if given time to grow, they are sold at higher prices, thereby increasing the value of the investment money.

Mutual Funds and ETFs

A mutual fund is a type of investment whereby investors pool funds into an investment and use them to buy other securities. ETFs are investment funds that hold the same securities in similar proportions as the stock market. Mutual funds offer professional management and diversification to ensure organizations and individuals grow their finances. As with other forms of investment, mutual funds involve the risk of losing money. This is because how mutual funds and ETFs perform in the past does not indicate how they can perform in the future. Mutual funds are considered a safe investment because they offer more diversification than purchasing individual stock.

Retirement Plans

Retirement planning involves determining income goals, risk tolerance, and necessary decisions to save for the future. Saving for retirement provides regular income for people in the future after retirement. After retirement, the way individuals manage their income creates a difference between living a comfortable life and running short of money. Individuals can save for retirement by purchasing stock or bonds to sell in the future after retiring.


Investors use annuities as saving plans to use funds in the future, especially after retiring. After buying an annuity, investors purchase insurance policies and receive periodic payments. Annuities may last for a predetermined period or until death. They may be linked to the insurance policy or the stock market. Annuities are considered to be low risk, and they make a good supplement to retirement plan savings instead of an integral source of money.

How Can Arrowroot Family Office help you with Investment Management?

Arrowroot Family Office helps organizations in maximizing returns and reducing the risk of investment by improving portfolio diversification. Arrowroot focuses on allocating assets through different outlets, either individual stocks, bonds, liquid alternatives, and mutual funds. By choosing the right portfolio, Arrowroot helps individuals and organizations to reach investment goals. Arrowroot Family Office believes in four main investment management philosophies: Holistic financial advice, after-tax results, practice disciplined investor behavior, and tax and asset planning. Holistic financial planning considers all aspects of financial and personal life before creating the best plan for the money. It looks at where individuals are today, where they want to be in the future, and how to get there. Arrowroot consists of a team of holistic financial advisors who advise business owners and individuals on pensions, insurance, and investments.

Arrowroot Family Office helps entrepreneurs and individuals earn a high after-tax rate of return. After-tax return is the profit that investors generate deducting taxes. After-tax return helps individuals determine their earnings and the share that they need to put into an investment. Arrowroot Family Office also promotes practice disciplined investor behavior to improve diversification in investments. Investors get a clear notion on asset allocation and portfolio management to achieve the main objectives of investing, to save or grow money. Arrowroot financial advisors help investors in asset planning to keep track of all their investments for better returns. Investment management services help capture the most efficient ways of reducing tax burdens and saving enough money for future personal and financial needs.

Frequently Asked Questions

Investment management is the process of handling various securities and financial assets. It also involves devising long-term and short-term plans to acquire and dispose of portfolio holdings.
Investment management helps people protect their hard-earned money from being eroded with time due to extravagance uses. It also helps grow money over a certain period of time in order to meet people’s financial needs. In a business, investment management ensures resources are allocated to the right uses to achieve the organization’s goals.
The fees associated with wealth management vary from one company to another. The cost is also based on the services that investment managers provide to the individual or a firm. Therefore, the cost of investment management is based on the dollar amount of the assets or funds that are being managed.
A tax-effective investment is a situation where investment income tax is less than the marginal tax rate. To achieve a tax-effective investment, investors should choose investments based on risks, financial goals, and expected returns.
Investors can reduce or defer taxes on their investment in a number of ways. These include reducing capital gains, income, and estate taxes. Investors should also consider tax-free municipal bonds, revisit asset locations, and maximize retirement plan contributions.
All investments can be marketed and turned into cash by making trades. There is no back-end penalty or fees, although a small transaction cost may apply at times. However, investors must note that marketable securities fluctuate, and market performance is not guaranteed.
Investment management services are conducted by an investment manager or an investment management company. The company or the investment manager develops a strategy to meet client’s needs by dividing their portfolio into different investment types such as bonds and stocks.
Families, individuals, and companies with many investments and assets need investment management to ensure they grow their money, earn higher returns and earn regular income after retirement.
Investment management services include portfolio analysis, monitoring of existing investments, asset allocation, stock selection, and financial statement analysis.

Helping you achieve your evolving financial objectives