What is Asset Management?
Asset Management is the business of investing other people's money. Asset Managers manage their client's portfolios by investing in equities (stocks), bonds, and/or other fixed-income securities to ensure diversification while maintaining an appropriate level of risk and returns. Their clients may be individual investors, such as high-net-worth individuals, or institutional investors, such as pension funds, retirement plans, governments, educational institutions, and insurance companies. Asset Management includes asset allocation, financial statement analysis, stock selection, monitoring of existing investments, and portfolio strategy and implementation. It may also include financial planning and advising services.
Asset Management Key Responsibilities & Skills
Asset Valuation: Analyzing historical trends, building models, and making sensible predictions about future events to properly value an asset
Analytical Thinking: Presenting detailed analyses of companies and investment plans to clients
Communication: Meeting with clients, determining their needs and requirements, and providing strategic advice
Negotiation: Liaising and negotiating with fund directors, property managers, attorneys, and auditors, etc.
Building Reports & Presentations: Preparing risk analyses and financial, investment, and asset management reports. Regularly updating fund manager and clients on the operational and financial performance of portfolio