WHAT IS ASSET MANAGEMENT?
You might here Asset Management referred to under many different names such as:
- Fund Management
- Wealth Management
- Money Management
- Investment management and others.
Asset Management is the professional management of various securities (shares, bonds, etc.) and other assets (e.g. property), to meet specified investment goals for the benefit of the investors.
Investors may be institutions (insurance companies, pension funds, corporations etc.) or private investors (both directly via investment contracts and more commonly via collective investment schemes eg. mutual funds, OIECS).
The asset management division of an investment bank is generally divided into separate groups, often known as Private Wealth Management and Private Client Services. Asset Management deals with institutional investors, while Private Wealth Management manages the funds of high net-worth individuals.
Asset management refers to the "buy side" of an investment bank (pension funds, mutual funds, hedge funds, investment trusts and the investing public).
Fund managers, irrespective of how esoteric their strategies are, basically manage assets (any asset class).
They might track an index or create value through complex arbitrage strategies but their ultimate goal is to professionally run a portfolio.
Read On: Career Paths into Asset Management >>>
