Asset Management

What is asset management

Asset management is said to be the process of managing assets for an individual or institution in order to maximize financial return with ensuring returns are maximised with respect to the firms strategy. This strategy is dependant on the financial aspects of ownership such as calculating the total cost of ownership, depreciation, licensing, maintenance, and insurance.

Asset management strategies

The term asset management can vary depending on the firm and its particular strategy, but these may include:

Asset management in property or also called property asset management

Provides property strategies including strategic lease management and effective operations for property returns.

Asset management in IT

Maintenance of IT assets minimising depreciation and other strategies.

Asset Management in finance also called investment asset management

Managing portfolio investments in equity, debt and derivatives

Asset management in inventory

Managing inventory and physical stock

Benefits of asset management

Depending of the type asset management strategy a firm may benefit through:

Adding value to business

Improvement in investment performance

Managing fnancial risk exposure

Reducing costs to business