fund manager


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Fund manager

The person whose responsibility it is to oversee the allocation of the pool of money invested in a particular mutual fund. The fund manager is charged with investing the money to attain returns consistent with the level of risk outlined in the mutual fund prospectus.

Fund Manager

A bank, business, or, less often, a person that makes investment decisions for a mutual fund. Fund managers make these decisions in accordance with the parameters set by the fund's prospectus. The goal is to make the most profit for the fund as possible. Unlike brokers, fund managers are not paid on commission but by a percentage of the total amount of money under the fund's management. This gives the fund manager an incentive to work for shareholders' profit because the more money the manager accumulates, the more he/she/it makes. See also: Markowitz Portfolio Theory.

fund manager

The supervisor of a pool of investment capital such as that held by a mutual fund, pension fund, or closed-end investment company. The fund manager is charged with making investment decisions that adhere to stated investment objectives.
I choose a particular mutual fund both because I am impressed with its performance or potential and because it strengthens the diversity of my portfolio. Should I also add an assessment of the fund's manager to this equation? If so, what should I consider?

With some 8,000 (and climbing) mutual funds to choose from, it has become a daunting task for individual investors to figure out which is the right one for them. Check out the fees. Read the prospectus. Gather short- and long-term performance data. Compare a fund's historic rate of return against those of its peers—mutual funds that invest in a similar asset class. And, yes, check out the fund manager. As every mutual fund prospectus tells us, past performance is no guarantee of future results. But at least you should know whether those total return figures were achieved by the current money manager or by someone who has moved on. What's more, experience matters in the world of money management, and investors should do a little digging to find out if a fund manager has weathered a bear market as well as a bull market.

Christopher Farrell, Economics Editor, Minnesota Public Radio, heard nationally on Sound Money®
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References in periodicals archive ?
After the announcement in the Union Budget, a new section was added to the Income Tax Act to provide that fund management activity carried out through an eligible fund manager located in India and acting on behalf of an eligible investment fund would not constitute business connection in India of such a fund.
Sebi for easier rules for fund managers
Morningstar's Fund Manager of the Year awards have always tried to recognize managers who not only post strong trailing-year returns but also have recent achievements that point to enduring processes and strong prospects for sound long-term performance," explained equities analyst Alec Lucas, in an online article posted Monday.
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section]2701 will likely be triggered any time a fund manager engages in estate planning and transfers his carried interest to one or more members of the family.
Estate planning with carried interests: navigating I.R.C. s. 2701
Scutify said it has released the iOS version of the its popular Hedge Fund Manager app, previously available as an Android app on Google Play.
Scutify adds iOS version of hedge fund manager app
But despite the Sensex rising, no fund manager expects the average P/E ratio to cross 20 times forward earnings in the next six months.
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The sharp plunge in crude oil price - nearly 45 per cent in the past three to four months - leading to relief in inflation and current account deficit is also a key reason why fund managers are bullish.
Riding the wave of hope
According to Paul Nunan, managing director of Capita s fund solution business in Ireland, AIFMD requires fund managers to comply with a new and extensive set of regulations that affect transparency, the conduct of business, remuneration, leverage and reporting.
Ireland,United States : CENTRAL BANK OF IRELAND sanctions AIFM licence to CAPITA FINANCIAL MANAGERS
Muscat: Real estate private equity fund managers around the world continue to face major challenges stemming largely from ongoing illiquidity within the capital markets.
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The act, however, would distinguish a carried interest that is deemed to be a return on invested capital (the fund manager has made a cash contribution to the fund) and all other carried interest compensation.
Clouds on horizon for private investment funds
Plus, hedge fund managers run organizations that are much smaller than major companies, which implies they are less complex and less difficult to manage.
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The growth in assets may force the fund manager to look for new strategies and markets as opportunities in the original trading area shrink.
The hedge fund mystique: making money with an investment that goes against the flow
They are merely a collection of stocks the fund manager believes may go up or down.
HEDGE FUNDS: Worth A Closer Look?

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