Investment management


What is investment management?

Investment management is a category of asset management that refers to the management of securities investment. It is the process of managing the money that is used for investments. The institutions employs a manager to invest their money and manage it . These include assets such as stocks, bonds and land among others.

The one who makes the investment is usually anyone, from an individual to a company, a corporation or a government. The main objective of investment management is to increase the net values of capital assets through investment.

Thus, for example, an educational institution could simply place its additional income in a fixed deposit in the bank. But why do that when you could be earning much more in the stock market? However, no one in the institution is qualified to know how to invest, so they would approach a bank or company dedicated to investment management services.

Investment profiles are managed through sound decisions about security, purchases and sales. Investment management advisors provide investment management services that include money management, investment projections, investment advice and investment management planning.

Investment management advisors can work as individual entities or can be a part of investment management firms.

Those who work for accredited investment management companies are preferred to solo agents because of their credibility and reputation. These agents usually hold university degrees that have obtained bachelor’s degrees in business and also have relevant experience in investment management in their belts.

Investment management meaning

Therefore meaning of the term “investment management” is the process of purchase and sales in a portfolio to achieve specific investment objective.

Investment management advisors

    1. An investment manager is a person or organization that makes investments in securities portfolios on behalf of clients according to the objectives and investment parameters defined by the client.
    2. An investment manager can handle all the activities associated with the management of client portfolios, from the daily purchase and sale of securities to the monitoring of the portfolio, the settlement of transactions, the measurement of performance and regulatory and customer information.
    3. Investment management advisors are supervised by government agencies and private investment management associations to guarantee the quality of their services.
    4. Certifications issued by government agencies and private associations protect investment management advisors and their clients alike. They are subject to the laws and regulations that govern money management and must meet strict requirements prior to certification and registration as qualified investment management advisors.
    5. They work to ensure client confidentiality and provide full disclosure of all investment agreements. Most, if not all, investment management advisors are also authorized brokers to allow them to carry out sales and buyers authorized by investors.

Investment management advisor types

There are two types of investment management advisors: those that offer direct financial advice to individuals or companies and those that offer asset management for corporate clients.

The services offered by the investment management advisors are not free. The usual rate charged by these advisers varies depending on the project, the monetary investment involved or the current situation they advise.

They also charge higher rates to corporate accounts than to individuals because of the complexity of the tasks when dealing with larger companies. Your fees can be calculated percentages of assets earned, annual fees or even hourly rates.

Importance of investment management

  1. You can receive best investment solutions.
  2. It increases the return on investments.
  3. Business goals can be easily fulfilled with more efficiency.
  4. You can secure your investments.

Objectives of investment management

There are several objectives of a portfolio management.

  1. Capital Preservation: Safety is an extremely important factor in investment management. Inventors tend to preserve their  cash in  banks, savings accounts, or treasury for safety.
  2. Maketability: A good investment is the one in which marketability is easier. It should have a good liquidity of getting converted to cash by easily selling it. Common stock is highly liquidable, since it can be sold within a day.
  3. Increase Income: The investment management should yield stable income. Companies usually invest in stocks that yield high returns or dividends.
  4. Growth of capital
  5. Tax Minimization
  6. Security

What investors look for before investing?

When choosing an investment management company to manage assets, investment managers investigate some things first.

Discover what your strategy is? Do you believe in buying shares of well-established companies with high costs and a guaranteed increase in returns that is slow but certain? Or do you prefer to invest in shares of a new company that is low in investment, more risky, but that can promise high returns quickly? Do they all the research in-house.

Or do they outsource their information? Do you have any safety net factors? What your previous record has shown? Find out about their successes and even the reasons for their failures, if any. Is it a person in the team or just a fund manager who handles everything?

Or it is a team with a fund manager at the top of the hierarchy. What is the turnover of the employees? How does the team works together, etc. With this information, you can evaluate how well your investments will be managed, since the art of investment has a complexity that is aggravated by the complexity of human intervention.

Investment management jobs

Some of the different job positions you may acquire in investment management career are these:

      1. Financial manager
      2. Risk manager
      3. Investment banking sales agent
      4. Insurance underwriting
      5. Budget analyst
      6. Investment advisor

Investment management salary

The average salary of the Investment Manager in the United States is $ 126,644 as of 2019, but the range is generally between $ 85,927 and $ 145,934. Salary ranges widely depending on many important factors. Some of the factors responsible are education, experience work, certifications, additional skills, the number of years you have spent in your profession etc,.

Investment management vs investment banking

    1. Investment management is about investment decisions and asset allocation. This means creating investment strategies and directing the funds to the property, shares or debt securities on behalf of the clients. Many in the industry refer to this as the “buying side,” where investment products are bought with the hope of generating profits. On the contrary, investment bankers are negotiators. They work as high-level consultants and analysts for large companies (usually corporations) to help with initial public offerings (IPO), stock purchases, mergers and acquisitions (M & A) and other capital raising techniques. Almost all investment bankers start as associates or analysts and expect to dedicate enough time to reach a role of vice president or general manager.
    2. The competition in both the careers is very tough. It requires the candidate to possess master degree in business and have good problem solving and verbal communication skills.
    3. These are two major fields in the finance industry in which the salary is very high and so is the work load and pressure.

Functions of investment banking

  1. Investment banks offer to help clients with different transactions based on bonds and securities. Clients receive advice on the proper acquisition of properties and assets.
  2. Customers also buy from banks the bonds and securities that would constitute these investments and then provide them with profits without working to use the investment.
  3. With the discretion of these investment banks, the client’s investment will be used in the market as another investment, which will provide the customer’s dividend in the specified periods. Investment banks not only protect these assets but also assume the risks for the client.
  4. These banks have the greatest loss if investments fail. These investment banks usually offer advice to several clients that operate on a small or large scale. They can meet the needs of small businesses, but they can also be experts in helping large companies.

Investment management software

  1. Broadridge Investment Accounting
  2. Prospero
  3. Vantage Software
  4. FinFolio
  5. StockMarketEye
  6. InStream
  7. EmX
  8. PackHedge
  9. Wealth Management Platform
  10. ReconAdvantage
  11. NaviPlan
  12. IBalance
  13. TradeLog
  14. TeamWox GroupWare
  15. VESTIO
  16. FXCM
  17. Wizetrade Commodities
  18. PortfolioPathway
  19. ActTrader
  20. Chartsmart
  21. FamilyWealthGuru
  22. Wealth EOffice
  23. Floodlight Investing
  24. Captools/net
  25. FundWare
  26. AlternativeSoft
  27. iLEVEL
  28. Ad Network Hub
  29. Agilis Investment Management
  30. RedQuarry RMS
  31. Argo Trading Platform
  32. fi360 Toolkit
  33. Argo Trading Platform
  34. Asset Manager
  35. Croesus
  36. Complex Interests
  37. CrowdStreet
  38. FINTRX Platform
  39. FA Solutions
  40. ForecastThis
  41. Ledgex
  42. Advisor Desk
  43. Investors WorkStation
  44. M2Advisor
  45. Parilux Fund Manager
  46. SmartDocs
  47. Promoter
  48. Agilis Investment Management
  49. AJ HYIP
  50. Angelloop
  51. Archer
  52. Assetmax
  53. ATOM Align
  54. Atomic Intelligence
  55. ATWeb
  56. Axia
  57. B2B white-label robo advisory
  58. Bipsync
  59. Balance
  60. Bankers Realm
  61. Bancstreet Asset Management
  62. Blueleaf
  63. Broker-Lender CRM
  64.  EBIMS
  65. Butterwire
  66. Caltina
  67. CAMS
  68. Diligend
  69. Charles River IMS
  70. DiligenceVault
  71. DxTrade
  72. Cogency
  73. Enfusion
  74. CU SHARE
  75. EFAdrin
  76. ETNA Trader
  77. FinlogiK
  78. Formula Stocks
  79. Everest
  80. Designer
  81. EReportal
  82. Focus:360 adviser
  83. FIGARO
  84. FINFOX Pro
  85. FundManager.io
  86. Finbox.io
  87. Global Wealth Platform (GWP)
  88. FoxTrot
  89. GoldenGem
  90. Fortress
  91. GlobalBackOffice
  92. HYIP Manager Script
  93. FIN
  94. Global WealthES
  95. IBS-Pams
  96. HYIP Investment Script
  97. IDEAL Wealth & Funds
  98. GoDigital
  99. ImpactEdge
  100. Investment Account Manager
  101. Horizon Portfolio Management
  102. GlobalBackOffice
  103. Zapflow
  104. Investfly

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Investment Management Firms

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