What is the difference between investment management and asset management?

Investment Management and Asset Management – These terms can be easily disturbed, especially because they are often badly represented. What do you mean, what are the most important differences and what can they be for you?

What is asset management?

Asset management looks at individual finance as a whole and how they can be achieved to reach long-term financial and personal goals. Managing Clients & # 39; asset management includes a wide range of services, such as legal planning, insurance, accounting and financial, charitable donations and tax advice.

There are higher minimum tool thresholds and higher charges for a more comprehensive service. Although a good manager can justify this through the savings provided by the service.

Advantages of Asset Management

As asset managers offer a range of investment manager services, their clients benefit from the same benefits. However, the additional services offered mean that asset management can have additional benefits.

Coherent strategy

Asset management is a financial perspective for all aspects of clients, aiming to provide a unique strategy for achieving their goals. For example, by combining various services, the trustee can find the best way to pay a mortgage or retire while avoiding tax effects or unjustified risk.

This holistic approach attempts to understand and predict how different areas of individual finance affect each other and organize them properly.


The trustee provides a single focal point for every financial affair. Instead of having a wide range of advisers, the trustee may replace, for example, the need for a separate financial planner or investment leader.

Their broad knowledge means they can serve as guides for those who are less familiar with the practices and technical language that often surround the financial services.

What is investment management?

Investment Manager has a primary role in client counseling, organization and expansion of investments.

After discussing the client's financial targets and acceptable risk levels, the investment manager compiles an investment portfolio that meets their needs. After that, customers will be updated on the status of the portfolio, make recommendations and make changes.

The Benefits of Investment Management

The investment management sometimes requires minimal investment and charges – usually a small percentage of the assets handled. However, there are many advantages.

Reduced Risk

With a portfolio manager creating a diverse portfolio, assets are less vulnerable to individual investment fluctuations. Hundreds of small investments are likely to spread among industries and asset classes if they are performing poorly, others are likely to compensate.


If you want your customer, you will be able to make extensive investments with the minimum effort, so it is ideal for the elderly. As paperwork and day-to-day work run, most of the stress on investment will cease to exist.

Higher ROI

One of the biggest benefits is to have the knowledge of professionals. The best investment managers often have rich experience and world-wide networks that help them find the best opportunities and achieve better results.

Investment managers have the capability that most investors do not. For example, you may increase your purchasing power when you merge more customers & # 39; and all of them have higher yields.

Which is best for you?

Which service is best suited to you, depends largely on your net assets and the type of help you need. While the trustee offers more services than an investment manager, usually only available to the coolest clients or is needed, the strongest, even with the purchase fees.

Therefore, if you simply want to increase your investments without having difficulty handling yourself, the profits of experienced investment manager services could be profitable. However, for those with higher net worth and complex financial position, comprehensive methods of asset management may be the best solution.

Source by sbobet

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