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