Asset Management Explained: Key Roles and Benefits
What is Asset Management? Understanding asset management starts with defining the word “asset.” In the broadest sense, an asset is anything that delivers value to its owner and the stakeholder(s) it serves. Stocks, bonds, residential properties, and commercial office buildings are all examples of assets. In finance, asset management describes managing money on clients’ behalf....
Management Expense Ratio (MER)
What is the Management Expense Ratio (MER)? The management expense ratio (MER) – also referred to simply as the expense ratio – is the fee that must be paid by shareholders of a mutual fund or exchange-traded fund (ETF). The MER goes toward the total expenses used to run such funds. The fee is not transferred...
Types of Financial Analysis
What is Financial Analysis? Financial analysis involves using financial data to assess a company’s performance and make recommendations about how it can improve going forward. Financial analysts primarily carry out their work in Excel, using spreadsheets to analyze historical data and make projections of how they think the company will perform in the future. This guide will cover...
Regulatory Risk
What is Regulatory Risk? Regulatory risk is the risk that a change in regulations or legislation will affect a security, company, or industry. Companies must abide by regulations set by governing bodies that oversee their industry. Therefore, any change in regulations can cause a rippling effect across an industry. Regulations can increase costs of operations,...
Financing
What is Financing? Financing refers to the methods and types of funding a business uses to sustain and grow its operations. It consists of debt and equity capital, which are used to carry out capital investments, make acquisitions, and generally support the business. This guide will explore how managers and professionals in the industry think...
