Asset management involves varies aspects and is a broad term to explain. To understand the meaning in short, asset management is a process that manages asset acquisition, disposal or use with a view to maximize gains during the lifetime of the asset. An asset manager also maintains and manages any risks and costs associated with it. Asset management is used for various things; some use it to track their cash or “liquid assets”, while others who have savings accounts, mutual funds, CD’s, money market accounts etc. along with investments in banking institutions. Products in various businesses are also considered as assets!
What does an asset manager do?
An Asset Management Company, also termed AMC, is an investment management company that helps invest pooled funds of retail investors with stated investment objectives. It offers liquidity, diversification and professional management consulting services to the individual investors for a fee. By way of floating various mutual fund schemes, an asset management company collects money from the investors.
Qualifications & training
- Gain a degree in finance or business as this is a highly competitive field environment. Check out course online to gain relevant certification (kaplandegress-online.com).
- Since an asset manager will be dealing with financial issues throughout the day, it is essential to gather all information about the financial world. Subscribe to business news such as Bloomberg or Forbes. Getting yourself exposed to such publications will help gain relevant knowledge on asset management and where the market stands, as these companies provide financial and business related professionals with data and tools they require on single or all-inclusive platform.
- Get familiar with the stock market; find out what is happening with various stocks and bonds. This will help you gain knowledge on what is doing well in the market and this in turn will help you advise your clients which investment is best suited for them.
- Financially stable companies that generate consistent annual growth revenue rely, most commonly on stocks; so get a better understanding on the service or product of a company that a client wishes to invest in such as AT&T and Verizon, these are telecom companies are income-based investment companies.
Initiative to work individually and as part of a team is the topmost skill required on this job role. Listening, respecting and acknowledging the ideas of your team members are essential as this is a people based profession. Besides teamwork, communication in a clear and effective manner is also necessary. Use the information provided in this article to become an asset manager.