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What is the difference between mutual fund and portfolio management?
Wiki User
∙ 11y ago
1)The fundamental difference between mutual fund and portfolio management service is that the latter involves management and implementation of your decisions.Unless you specifically ask for the same, the PMS is not going to take investment decisions for you.On the other hand, you cannot instruct your mutual fund house manager to invest your money in specific sectors only.This decision should be taken when you are choosing the mutual fund scheme. However, once the choices been taken, you lose all freedom of indicating your personal choice.
2)Another significant difference between portfolio management service and mutual funds is that the former can offer customized and individually tailored solutions. On the other hand, mutual funds offer group solutions for a large number of persons seeking a specific investment option.
3)Another significant difference between the two solutions or services is the extent of regulation.
4)Under certain conditions and circumstances, the portfolio management service may function just like a mutual fund.
If your portfolio is not very high, your bank may combine it with portfolio of other customers in the same condition and take joint investment decisions. When this happens, the service provider will function just like a mutual fund manager. However, if you have a diverse portfolio and if you are a high net worth individual, you can insist on customized services from your bank or financial institution. This option is not available when you invest in mutual funds.
Wiki User
∙ 11y ago
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What is the responsibility of a mutual fund's management company?
The management company is responsible for selecting an investment portfolio that is consistent with the objectives of the fund as stated in its prospectus and managing the portfolio in the best interest of the shareholders.
What is fund management in the mutual fund Can anyone give information about this?
A fund manager is the person who is responsible for implementing a fund's investing strategy and managing its portfolio trading activities.A fund can be managed by one person, two people or team of three or more people, where fund managers are paid fee for their work .There are many AMC's that can help you out with investing.Reliance mutual funds is one of these with a very good reputation in the market.
Where can one learn something about good fund management?
People interested in investing and specifically mutual fund management should view the PBS Frontline video report titled "The Retirement Gamble" which was originally aired April 23, 2013. The narrator in this video speaks with investment advisers about fund management. The book "The Gone Fishing Portfolio" is a book that will open our eyes about Index Funds and actively managed funds. It wouldn't hurt to visit the Vanguard Investment website also to get their opinion on fund choices.
WHAT IS fund management in mutual fund?
Fund management refers to investing your money in different funds to explore more and gain more. With effective fund management, you will be able to earn higher and higher. You can take help of Tradebulls to understand this further easily.
What do portfolio managers do?
These finance professionals are responsible for investing large amounts of money. The portfolios they manage are often mutual funds, pension funds, trust funds, and funds for individuals who are investing very large amounts of money.
Difference between mutual fund portfolio construction portfolio construction?
Mutual fund portfolio construction involves selecting a mix of securities (stocks, bonds, etc.) based on the fund's investment objectives and strategy, diversified across various market segments. Portfolio construction in general refers to the design and management of a collection of assets to achieve specific goals, whether for a mutual fund or individual investor.
What is the difference between portfolio and mutual fund?
1)The fundamental difference between mutual fund and portfolio management service is that the latter involves management and implementation of your decisions.Unless you specifically ask for the same, the PMS is not going to take investment decisions for you.On the other hand, you cannot instruct your mutual fund house manager to invest your money in specific sectors only.This decision should be taken when you are choosing the mutual fund scheme. However, once the choices been taken, you lose all freedom of indicating your personal choice.2)Another significant difference between portfolio management service and mutual funds is that the former can offer customized and individually tailored solutions. On the other hand, mutual funds offer group solutions for a large number of persons seeking a specific investment option.3)Another significant difference between the two solutions or services is the extent of regulation.4)Under certain conditions and circumstances, the portfolio management service may function just like a mutual fund.If your portfolio is not very high, your bank may combine it with portfolio of other customers in the same condition and take joint investment decisions. When this happens, the service provider will function just like a mutual fund manager. However, if you have a diverse portfolio and if you are a high net worth individual, you can insist on customized services from your bank or financial institution. This option is not available when you invest in mutual funds.
Who elects the portfolio manager of a mutual fund?
A Portfolio Manager or a Fund Manager for a Mutual Fund is not elected but Selected by the Asset Management Company
What is the responsibility of a mutual fund's management company?
The management company is responsible for selecting an investment portfolio that is consistent with the objectives of the fund as stated in its prospectus and managing the portfolio in the best interest of the shareholders.
What service does Mutual Funds in India provide?
The Mutual Funds Group of India offer global marketing and portfolio management. This group also deals in selling of properties to internationally based companies.
What is an asset management fee?
The Asset Management Company (AMC) as the Investment Manager of the Mutual Fund charges a fee for portfolio management. The fee charged on an annual basis is calculated as a percentage of net assets under management. Reliance Mutual Fund house charges nominal charges as compared to other fund houses.
Why mutual fund investing is advantageous?
The primary advantage of investing in mutual fund is professional management, the investor purchase the fund because they do not have time to manage their portfolio, Mutual fund is relatively inexpensive way for small investors to get full time manager to make the investment
What has the author G A Pogue written?
G. A. Pogue has written: 'Cash management' -- subject(s): Cash management 'The impact of international diversification' -- subject(s): Accessible book, Mutual funds 'An extension of the Markowitz portfolio selection model to include variable transactions' costs, short sales, leverage policies and taxes' -- subject(s): Accessible book, Mathematical models, Investments, Portfolio management 'An inter-temporal model for investment management' -- subject(s): Accessible book, Mathematical models, Portfolio management
What has the author Louis K C Chan written?
Louis K. C. Chan has written: 'On mutual fund investment styles' -- subject(s): Econometric models, Mutual funds, Portfolio management 'Benchmarking money manager performance' -- subject(s): Economic aspects, Economic aspects of Research, Mathematical models, Portfolio management, Research 'Fundamentals and stock returns in Japan' -- subject(s): Economics 'Robust measurement of beta risk / Louis K. C. Chan, Josef Lakonishok' 'On portfolio optimization' -- subject(s): Statistical methods, Prices, Stocks, Econometric models, Investment analysis, Forecasting, Portfolio management, Risk management 'Are the reports of beta's death premature?'
What has the author Jie He written?
Jie He has written: 'Zhongguo zheng quan tou zi ji jin zhi li jie gou yan jiu' -- subject(s): Management, Mutual funds, Portfolio management..
Construction of portfolio for collective investment?
A Collective Investment is more, really, a "vehicle" than a portfolio -- so in short you could construct a portfolio in a myriad of ways -- Think of it this way, you may be familiar with mutual funds. Mutual funds invest in all kinds of things with all sorts of different portfolio construction strategies and methods. There are money market mutual funds and stock funds and other conservative to aggressive funds. A mutual fund is one way of setting up, legally, the form of the investment portfolio, not the strategy of the portfolio. This is also the case with Collective Investment (Funds), which are legally organized in a different manner than mutual funds or partnerships. hope that helps
What has the author Steven Drobny written?
Steven Drobny has written: 'Inside the house of money' -- subject(s): Hedge funds, Investment advisors, Mutual funds, Portfolio management, Investments
