What is the difference between asset protection and asset management?

Asset protection is the legal way of shielding your assets from creditors and other claimants, while asset management is the planning and overseeing of your assets to maximize their value. Asset protection focuses on the risk of potential loss by implementing strategies to minimize the chances legal action can be taken against you. This can include creating legal entities to hold assets, taking out insurance policies, signing contracts, or limiting access to assets. Asset management is the process of maintaining and developing your assets in order to increase their value. This typically requires regular maintenance, checking for risks, and investing. Asset protection is a preventative measure that can help to protect your assets in the event of legal action or economic downturns. Asset management is the proactive approach to maximize the return on your assets and ensure their long-term success. In the District of Columbia, asset protection laws are in place to provide protection from creditors and other claimants. This includes protecting assets from liabilities, preventing losses through fraud or mistakes, establishing trusts, and creating limited liability companies. Asset management is a more individualized approach, which involves managing your assets to ensure their value is preserved and enhanced. This involves creating goals and objectives, analyzing performance, developing strategies, and making decisions on when to buy or sell assets.

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What is the difference between asset protection and asset management?

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