What is the difference between asset protection and asset management?

Asset protection and asset management are both strategies for managing and preserving personal or business assets. However, the two strategies differ in their approach. Asset protection focuses on protecting existing assets from loss through the use of legal strategies. Asset protection strategies may include setting up legal entities such as limited liability companies and trusts, insurance policies, or titling property in others’ names. The goal of asset protection is to limit liability and preserve current assets. Asset management, on the other hand, is the practice of using financial strategies to grow and preserve assets over the long-term. Asset management strategies might include investing in stocks, bonds, or mutual funds, or utilizing tax incentives or other types of financial planning. The goal of asset management is to enhance the value of existing assets and build wealth over time. In Washington, both asset protection law and asset management have important implications for individuals, families, and businesses alike. Consulting with a financial advisor, attorney, or other professional who specializes in Washington asset protection and asset management can help individuals, families, and businesses develop strategies that are best-suited for their individual circumstances.

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What is the difference between asset protection and asset management?

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