Investment Management : Introduction
If you are one of those interested in the ups and downs of the
financial market, and is into reading finance based news papers,
checking stock prices on the internet or watching CNBC, investment
management is the right career choice for you. Investment is one of the
most important aspect of capital formation, others being savings and
consumption. Investment management plays an important role in designing
the financing needs of an undertaking whether it is public or private.
The other name of Investment Management is Asset/Money management. In
the banking sector, it is referred to as Fund investment management.
Investment management is the process of managing financial assets,
such as stocks and bonds, and real assets, such as real estate, to meet
the objectives of the owner/investor. Investment management is about
managing/raising money by investing it in a variety of asset classes
including equities (or shares) and bonds. Investment management includes
managing mutual funds, assets, private consulting for individual clients
and pension funds for companies, retirement planning and estate planning
for individuals. The task involves supervising the proper utilization of
hard earned money or assets of the clients. In other sense, investment
management involves analyzing the risk and return of various financial
assets. Investment management services are sought by investors, which
could be companies, banks, insurance firms or individuals, with the
purpose of meeting stated financial goals.
Investment manager is one who specializes in placing money in diverse
instruments in order to accomplish predetermined goals. Investment
managers are found in each and every multinational corporation. They
advice and offers expertise to corporations in mergers and acquisitions.
Investment managers are also widely known as fund managers. Their
functions are more or less same as that of finance managers. In small
firms, these positions are often combined. They are responsible for the
company’s investment in the market. It means they control inflow and
outflow of cash. Through proper forecasting and planning, they determine
the best means of investing material and financial resources in order to
make profit. They are primarily responsible for the development of new
business/ attaining goals of their firms. They analyse the clients
financial situation, recommends the best method of raising funds,
structures transactions, makes client presentations etc to accomplish
the desired goal.
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