What Is Asset Management and Do I Need It?

Well, what if we told you that the cash that has taken you a lifetime to earn, can be lost in a matter of months? But with a professional asset manager, you can protect your hard-earned life savings. As well as all your important investments. But what does this actually mean?

What are the the duties of an asset management company?

A service like Rimar Capital uses investor funds to invest in stocks, bonds, real estate and private equity. It is often thought that asset management companies only work with rich people. Sometimes this is true. But world wide, some of the biggest trading companies  actually focus on small to medium size investors.

How do they make money on my behalf?

The goal of every asset management firm is to handle their client’s assets well. They also work to grow your net worth. This will happen over a long period of time.  Often you need to automatically transfer funds  into a dedicated joint account. This then lets the firm invest money on your behalf. Which secures your financial future.

How does an asset manager build my wealth?

Asset managers are hired by high net worth individuals. As well as institutional investors like corporations, pension funds, and financial intermediaries. They aim to grow the client’s portfolio over time. Once hired, they conduct interviews, research, and run statistical analyses of these companies. They need to understand the markets  trends. This helps them make the best investments on the client’s behalf.

Why should I invest in pooled funds? 

Funds empower small investors. This allows them to pool their resources. Now they can collectively contribute to various funds. Like index, mutual and exchange-traded funds. Normally, funds like these increase in value over time. So they are very low risk. But, the average per stock price for ETFs and index funds is very high. By pooling funds together, you can join in taking advantage of very beneficial, low-risk investment opportunities. 

 

What is the bottom line?

An asset manager handles the financial portfolio on behalf of a client. In order to grow the client’s portfolio they will decide which investments to make, hold, or avoid. Daily duties include using statistical analysis tools to understand both micro and macro markets. This way, they increase the chances of growing a client’s assets. And achieve high rates of return on each investment.