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Who is a Fund Manager?
Mutual funds with superior performance records often falter ~ John C. Bogle
A fund manager is a finance professional whose job is to supervise investment decisions and manage a fund’s portfolio by analysing market trends, selecting assets such as equities and bonds, and allocating investments to meet the fund’s objectives. Their primary responsibility is to maximise returns while managing risks.
Fund Manager in a Nutshell
A fund manager is an individual who helps develop and manage investment strategies while focusing on maximizing returns and controlling risks. A fund manager is expected to do market analysis, portfolio management, and regulatory compliance. Most fund managers have a strong finance background and professional certifications like the CFA.
Quick Facts for Fund Manager
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Industry
Finance
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Average Salary in India
₹77318.5
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Suitable for
Male, Female, Others
Anyone, irrespective of gender, can become a fund manager. Those who have the right skill sets, financial expertise, and adequate work experience can pursue this role. There are no gender-specific barriers as such.
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Any special needs
Yes
The job of a fund manager is primarily a desk-based job. There is not much work-related travelling or fieldwork required. It can be a good option for those individuals with special needs, provided that the need does not affect the job.
Table of Contents for Fund Manager
What is the role of Fund Manager?
A career as a fund manager comes up with several responsibilities. The primary responsibility is to research and determine the best stocks, bonds or other securities that fit into the investment strategy of the fund that fulfils the requirements of the investors or outlined in the prospectus. Individuals who pick the career of a fund manager buy and sell stocks, bonds or other securities.
Fund managers research various policies, projects and financial activities of multiple companies.
They provide advice on a client’s financial assets to ensure profitability and better returns.
Fund managers maintain and suggest new ideas for investments.
They analyse the market and interact with clients to plan their investments accordingly
Types of a Fund Manager
There are two types of fund managers, active fund managers and passive fund managers, both represent two distinct investment approaches. We have provided their job description below with job titles. In this section, we will be describing the types of fund managers and the related careers.
Active Fund Manager: An active fund manager job duty involves studying the active fund management trends in the market, analysing data and staying updated on current and company news.
Passive Fund Manager: A passive fund manager tries to mirror the returns of funds’ portfolios instead of trying to outperform the index. He or she trades securities held in the benchmark index.
What is the workplace/work environment of Fund Manager like?
On a daily basis a fund manager is required to research and analyse financial markets and stock performance. Most working hours are spent connecting and communicating with clients, attending meetings, where investment decisions are made that align with clients’ financial goals.
Does Fund Manager require travelling?
Likely
There is no daily travel involved. However, the role is such that the individual may occasionally be required to travel to attend meetings with clients or coordinate with other teams, including the risk management team and related departments.
Time Pressure
Likely
Stock markets operate within fixed trading hours, due to which individuals working as fund managers might be required to work extra time to do market research and to develop investment strategies that go beyond the standard working hours.
How to become a Fund Manager?
Steps to become a Fund Manager
With the following steps, one can become a fund manager. The role includes managing investments, maximising returns, and steering market risks with confidence. Below, we have given key steps on how to become a successful fund manager.
What are the skills and qualities required to become a/an Fund Manager?
A fund manager along with financial skill also requires multiple soft skills which will be essential in performing the role at its full efficiency and maintaining a standard of work, some of the common soft skills required are as follows:
Problem Solving Skills: A career as a fund manager demands problem-solving skills. In a career as a fund manager, individuals must know when to make changes in investment plans to avoid risk and ensure better returns.
Analytical Skills: A fund manager has to predict the behaviour of stock based on its quantitative as well as qualitative analysis. Individuals who opt for a career as a fund manager are required to analyse the effect of things that cannot be easily measured.
Communication Skills: A fund manager has to communicate with numerous people on a daily basis. In a career as a fund manager, individuals have to communicate effectively with the clients and understand their requirements to make investment decisions for achieving the goal.
Interpersonal Skills: Interpersonal skills are one of the most crucial aspects of a fund manager. A fund manager has to provide support to the analysts and traders. He or she has to effectively communicate with them to avoid any mismanagement.
Organising Skills: A fund manager has to manage the funds’ portfolios of multiple clients. He or she has to oversee the trading activities of each account. Individuals who opt for a career as a fund manager have to make investment strategies to ensure better returns.
Which certifications and internships can be helpful in becoming Fund Manager?
We have provided below a list of relevant certification courses for aspiring individuals who want to opt a career as a fund manager. These courses may help them to upgrade their skills and knowledge of the stock market and mutual funds.
Financial Modeling in Excel
Online Research Analyst Course
Free Online Courses in Stock Market
Become a Smart Investment Advisor
Technical Analysis course Certification online
Capital Market course
Internship Availability
Those aspiring for a portfolio manager career often start at entry level, with opportunities like fund management internships. Platforms like Naukri.com, Monster, Internshala, and LinkedIn offer such roles. Interns handle tasks like data mining, researching financial companies, and developing trading strategies. This provides exposure to various aspects of the financial industry, including crafting investment strategies in FOREX, Equity, CFDs, and Derivatives.
Fund Manager Jobs and Salaries
Assistant Fund Manager
Contractual/Permanent
- Average Salary 33547
Job Description
The Assistant Fund Manager conducts critical investment research, assists in portfolio analysis, and collaborates with senior managers to inform strategic decisions, contributing to the overall effectiveness of investment portfolio management and client return optimisation.
Salary Description
Assistant Fund Managers earn an average monthly salary of Rs. 33,547(approx), amounting to an annual income of Rs. 4.5 lakh(approx), reflecting their role in supporting investment decisions and portfolio management.
Senior Fund Manager/Lead Portfolio Manager
Contractual/Permanent
- Average Salary 121090
Job Description
The Senior Fund Manager role entails expert leadership in investment portfolios, leveraging market insights for optimised returns, risk management, team mentorship, and strategic decision-making to drive organisational growth and client satisfaction.
Salary Description
Senior Fund Managers earn an average monthly salary of Rs. 1,21,090(approx), with an annual income of Rs. 18.0 lakh(approx), reflecting their expertise in managing investment portfolios and delivering strong financial performance.
What is the job outlook for Fund Manager?
Rising financial awareness, increased participation in mutual funds and equity markets, and the shift towards long-term wealth creation are driving a demand for professional fund managers. An increasing number of individuals are looking for expert financial guidance.
There has been an increase when it comes to number of people investing in shares and stocks. There has been a rapid rise in investment from individuals, not only from the business class, but also from the middle class. Fund managers are hired by financial institutions, where investors depend on their expertise to make informed investments on their behalf.
Frequently Asked Questions for Fund Manager
Que. What is the average fee of MBA in Finance?
Ans.The average fee of MBA in finance ranges Rs. 400,000 to Rs. 2,000,000.
Que. What are the top colleges of fund managers?
Ans.Some of the top colleges known for producing skilled fund managers include Harvard Business School, Wharton School of the University of Pennsylvania, London Business School, Stanford Graduate School of Business, and Columbia Business School.
Que. How long does it take to become a fund manager?
Ans.The time to become a fund manager varies, but it typically takes several years of education, gaining experience in the financial industry, and building a strong track record in investment management.
Que. Is it hard to become a fund manager?
Ans.Becoming a fund manager can be challenging, requiring a combination of financial knowledge, analytical skills, and the ability to make sound investment decisions in a dynamic market environment.
Que. Do you need CFA to be a fund manager?
Ans.While a Chartered Financial Analyst (CFA) designation is not always a strict requirement, it is highly regarded in the industry and can significantly enhance one's chances of becoming a successful fund manager by showcasing expertise and commitment to the field.
Que. What are the top recruiters of fund managers?
Ans.Top recruiters for fund managers include renowned financial firms and investment companies such as BlackRock, J.P. Morgan Asset Management, Vanguard Group, Fidelity Investments, and Goldman Sachs Asset Management.
Que. What is the average salary of fund managers?
Ans.The average salary of fund managers in India can vary significantly based on factors like experience, location, and the type of fund they manage. However, salaries for entry-level positions or less experienced fund managers may be lower. Please note that these figures can change over time, so it's advisable to consult current job market data for the most accurate salary information.
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Did you know?
Fact 1
Warren Buffett averaged a 20% annual return over 50 years.
Fact 2
India’s mutual fund AUM crossed ₹40 lakh crore recently.
Fact 3
The first mutual fund launched in the U.S. in 1924.
Fact 4
India’s first fund manager, UTI, started in 1987.
Fact 5
Only 20% of fund managers outperform the market over 10 years.
