Important Points for IC 99 - Asset Management Exam
Page 2 Of 109
Go to:
Asset management consists of the aspects like : analysis of investment alternatives and their evaluation - looking and forward looking into financial markets, financial systems and financial instruments both existing and emerging - taking proper investment decisions using appropriate theory and - latest practice of portfolio management.
Asset management enables an organisation to examine the role and performance of assets and asset systems at different levels and times in consideration of their costs, risks and return.
Investment management involves the following functions with the above aspects in view : Continual search for alternatives and opportunities of investment - Selection of the best alternative(s) in terms of profitability, security and liquidity or marketability - Regular review of investment results and analysis of performance of financial assets for future asset allocation or investment for the wealth-maximisation of the firm.
The asset management function helps in choosing the best among alternative investment assets.
It is a theory of finance that attempts to maximise portfolio expected return for a given amount of portfolio risk, or minimise risk for a given level of expected return, by carefully choosing the proportions of various financial assets.
MODELEXAM® 
www.realsoftinfoplan.com