Asset Management

What is the "Asset Management". The "Point" This month is inspired by a common question that comes to us from small savers: What is "asset management". The "asset management" consists of a mandate given to a financial intermediary authorized to manage, on a discretionary basis, the sums conferred investing and divesting in securities. The aim is to optimize the profitability of the capital entrusted in line with the risk profile and liquidity choice. It is a personalized service where the sums liquid flow into a/c management and pertaining to the customer portfolio securities in a securities payable to the latter.

The manager, of course, in order to operate must have both the cash sums of c/c values ​​of the securities deposit.
But that discretion may be of two types operating under the mandate : no prior agreement with the customer, which is the general case, and with prior agreement, the type normally reserved only for special customers, possess considerable expertise and financial amounts substantial.
The management has an indefinite period and the customer may at any time require the partial or total repayment of his capital. The timing of repayment are fast and coincide with those required for selling the securities in the portfolio. At predetermined times is sent to the client a statement on the situation and on operations.

Asset management, regardless of the various lines of investment that offer, can be divided into two broad categories: asset management-furnished (GPM) and asset management in mutual funds (GPF).

The first consist of purchases/sales made ​​directly by the operator in the securities market, which is typically where the national is highly specialized. It should be noted, however, that if in the basket of line management are also covered percentages of investment in foreign markets, the manager, if not have a specific knowledge, occurs normally in units of mutual funds specialize in these markets. In addition, this type of management, necessary for a fair and diversification of investments, the basic principle of any portfolio is accessible and affordable only to customers who can give large sums.

The second (GPF) are, in contrast, are characterized by the fact that the manager, always for the purpose of a viable diversification , makes purchases/sales of shares only in mutual funds and SICAV shares. These managers are turning to all categories of investors, including those that can give the average amount of capital/low.

All managed accounts, similar to mutual funds, must be at the base of an asset management service that has the primary purpose of the construction of an efficient portfolio, in which the correlation is optimized risk/return compared to the goals set by the investor. This service is expressed in both the construction of the portfolio which the identification of the benchmark or benchmark, and in the measurement of performance.

In a macroeconomic analysis of the allocation of household savings, it is noted in the last few years a significant growth of assets under management. That is, the choice to use the asset no longer be decided by the individual, but delegated to financial intermediaries. The large volume of flows has led to such intermediaries to operate in a globalized financial market and the creation of financial products more innovative and sophisticated.

Are found in the asset management industry many types of financial intermediaries, which often overlap at the operational level : banks, securities firms, insurance companies, asset management and so on.