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Asset Management CompanyAn asset management company (AMC) is a company that invests its clients' pooled

fund into securities that match its declared nancial objectives. Asset management

companies provide investors with more diversication and investing options than

they would have by themselves.

Asset management broadly dened refers to any system that monitors and

maintains things of value to an entity or group. !t may apply to both tangible assets

such as buildings and to intangible assets such as human capital intellectual

property and goodwill and nancial assets. Asset management is a systematic

process of deploying operating maintaining upgrading and disposing of assets

cost"e#ectively.

Asset Management Company as fnancial

institution $he most common usage of the term %asset manager% refers to investmentmanagement the sector of the nancial services industry that manages investment

funds and segregated client accounts. An asset management is a part of a nancial

company which comprises e&perts who manage money and handle the investments

of clients. rom studying the client's assets to planning and looing after the

investments all things are looed after by the asset managers.

Classifcation o Asset management

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How does it works?AMCs o#er their clients more diversication because they have a larger pool of

resources than the individual investor. ooling assets together and paying out

proportional returns allows investors to avoid minimum investment re*uirements

often re*uired when purchasing securities on their own as well as the ability to

invest in a larger set of securities with a smaller investment.

A systematic process of maintaining upgrading operating physical assets.

• +nhances nowledge of capital assets and their respective values

• +stablishes standard process for investment decision"maing

A system framewor that provides a measure of organi,ational performance and

ties it to internal short and long range planning

• -ins business engineering economic theory to an organi,ations mission

• rovides tools for organi,ed logical approach to decisions.

How Asset Management Companies Work 

• Asset management is in the business of using money to mae more of it.

• Asset management companies manage the money of their clients to achieve

specic nancial objectives within guidelines under which an investment pool

is organi,ed.

•  $he pool might tae the form of a mutual fund hedge fund retirement or

pension fund or other institutional fund and depending on how the fund is

organi,ed.

• Asset managers could invest in any range of investment vehicles including

e*uities &ed" income securities and derivative products such as options

and futures.