The asset management are forms of investment by savers entrusted to specialized companies (banks, investment firms, asset management companies) in the construction and management of an investment portfolio. The delegation takes place through a management mandate; asset management is aimed at optimizing the profitability of the capital entrusted, in line with the chosen risk and liquidity profile.
Asset management is normally offered to the most demanding customers in terms of investment expenditure. The investment service of fixed asset management companies is personalized: one client’s portfolio is potentially different from that of another and is defined on the basis of an accurate analysis of its investment needs and objectives.
Types of asset management
Asset management, regardless of the various investment lines proposed, can be divided into two main categories: asset management (GPM) and asset management in mutual funds (GPF).
Asset management: purchases/sales made directly by the manager on the securities market, generally nationally
Asset management in mutual funds: the manager, for the purpose of valid diversification, makes purchases/sales of units of mutual funds and SICAV shares only. These managements are aimed at any category of savers, even those who can confer medium/low capital.
Asset management mandate and timing
The manager or rather the company that will take care of the management of your capital, before taking charge of the times and methods, must first agree with you on the type of investment you intend to activate. The asset management as an orientation has an indefinite duration as it is the customer who can request partial or total repayment of his capital at any time. Instead as regards the timing of the repayment, these turn out to be fast and coincide with those useful for divesting the securities in the portfolio.
The Management Company sends the reports relating to the situation and the performance of the management itself, in times previously agreed with the customer, so that you who are the customer can decide whether and how much to continue on the mandate granted to the Company itself.
Both asset management methods, like mutual funds, must have an asset management service at their base which has the primary purpose of building a portfolio, in which the risk-return correlation is optimized as regards the objectives chosen by the investor. This kind of service is expressed in the construction of the portfolio but also in the identification of the reference parameter, otherwise known as the benchmark, it is also expressed in the measurement of the performance.
Managed savings must also be mentioned, an area in which there are many types of financial intermediaries that sometimes overlap on a strictly operational level. We have seen that for asset management (securities) we mean to speak of a personalized service offered by the best fixed asset management companies in India in which liquidity flows into a management current account on which the customer has relevance, this management concerns the securities held in the portfolio and deposited in securities but the asset management takes time.