What is asset management?
Asset management basically just means managing assets. With this form of investing you give away the management over your assets and you do not trade yourself in stocks, commodities or currencies. Other synonyms for asset management are “investment management” and “wealth management”.
There is a difference between individual and collective asset management. When a single person takes responsibility for someone’s capital, this is called “individual asset management”. When a group of people, mutual fund or pension fund manages a person’s capital, this is called “collective asset management”. Examples of collective asset managers are: Robeco, MoneYou and alex.
As an investor in an asset management you often have the possibility to choose between different funds or risk profiles from defensive to offensive, increasing in risk and return, to invest your capital. You can also set a starting capital and / or determine a monthly contribution. At Robeco, you can open an account if you are eighteen or older. The minimum deposit to open an account is just € 50 and if you open your account through our link you receive € 50 for free. After that you can set a monthly amount to put into your investment account.
Would you rather not have someone else managing your assets for you? Then you can also trade yourself through a broker like, for example, Keytrade.
Continue reading: Lesson 4: What are Contracts for Difference?