External investment portfolio management
Ever since our childhood, we all liked to try to do things independently. As we grew older, we began to understand that there are areas in which it is better to use the services of expert professionals – both to achieve the best results, both to free up time for us to engage in what we are good at and like to engage in, and to avoid various mistakes and damages.
Among these areas is also investment in the capital market, which requires an in-depth understanding and familiarity with the world of investments and the various economic terms ranging from securities to stock indices, And also requires an investment of quite a bit of time.
Accordingly, many people who wish to invest in the capital market, beginners and experienced alike, choose to use the services of a professional and experienced investment company, which provides a management service Portfolio external. This means that the investor entrusts the management of his investment portfolio in the hands of an investment company, and this in exchange for management fees (which reflect the operating costs, the time spent managing the portfolio and the professional knowledge of the portfolio manager), works to manage the portfolio in an optimal and personalized way for the goals and needs of the investor.
How is an external investment portfolio built and managed?
External investment portfolio management is performed by a professional portfolio manager, who holds an appropriate license for investment portfolio management on behalf of the Securities Authority. In the first stage of building the investment portfolio, the portfolio manager will get to know the characteristics of the investor, his needs and goals, will examine the level of risk he wishes to take in investments in order to achieve those goals. Accordingly, he will put together the most suitable investment portfolio for each client.
The world of investments is a volatile world, which requires constant examination and sometimes making changes and adjustments in varying periods of time. Therefore, even after building the investment portfolio, the manager of the portfolio must examine its composition and the performance it yields, to make sure that it does meet the defined goals and objectives.
Why should you choose external investment portfolio management?
We have already presented the concept that, similar to other fields, which require skill and in-depth professionalism, so also in investments in the capital market, it would be recommended to use the management services of a professional company. Beyond that, there are several other good reasons for choosing to manage an external investment portfolio:
1. Knowledge is worth money
There is no substitute for the knowledge and professionalism of an investment manager. The many years of study, the Securities Authority tests and the professional framework in which he operates (the investment company) – assure us that our money is in safe and professional hands.
2. Personalized investment
In the world of investments, you can find a variety of different types and channels of investment. Through a professional investment portfolio manager, who understands the characteristics, needs, goals and risk level that suits us, we can get an investment portfolio that is exactly tailored to our personal profile.
3. Saving time
Independent management of an investment portfolio involves the performance of quite a few buying / selling operations and monitoring the performance of the portfolio. When the portfolio is managed by a professional investment company, you can save your valuable time, and be updated periodically on the performance of the portfolio.
4. Smart investment
Professional investment companies use established investment models and advanced technological tools. These allow the investor to reach the most optimal results, after an in-depth analysis of the composition of his investment portfolio, and receiving a premium service.
5. Full control over the money
Managing an investment portfolio through an external company is possible directly from your bank account through the investor’s power of attorney (which can be revoked at any moment you choose) regarding the purchase/sale of securities. Thus, when the money is in your bank account, you can ensure full control over it and even enjoy high liquidity.