DIVERSIFICATION OF ASSET BASED ON THREE PILLARS OF WEALTH MANAGEMENT IN HNWI BEFORE RETIREMENT

In these recent years, the financial industry in Indonesia has grown and has a good prospect. Wealth Management as one of the financial industries also has significant growth. In addition, Indonesia's high economic growth stimulates the new rich people with net assets of more than 1 million U.S. dollars or known as High Net Worth Individual (HNWI). However there are few of HNWI who manage their assets well, so this could be an opportunity for the emerging of new jobs as financial planners. This case study is a real work simulation as a wealth manager. Client in this thesis will be entering retirement age. In an interview that has been done before, researcher found that client's investment instruments did not fit with client�s risk profile which is aggressive or be able to accept the greater risk. Researcher design two scenarios of financial investment instruments and real sectors investment instruments those are in accordance with client�s risk profile. Two scenarios designed by researcher have the different level of return and risk. Based on the information obtained by researcher, client wants to manage and optimize his wealth, especially client�s deposits of IDR 4,089,500,000 to be transferred into other investment instruments that provide a higher rate of return. In addition, researcher analyzes client's investment objectives, such as preparation of pension funds, costs of education for children, insurance funds and holiday fund. The analysis performed by researcher is based on three pillars of Wealth Management concept