Investment management software helps to manage investment portfolios, monitor portfolio performance, maximize portfolio return, check financial assets like bonds, stocks, options, and futures, and file reports to specific folders or to an accounting program. Some of the main features of investment management software include asset tracing, portfolio optimization, and financial report generation. Asset tracing is the process of finding duplicate or duplicated assets that have the same description, and owner. This allows for the creation of a more efficient system that would be difficult to do manually. Portfolio optimization is the process of using assets in a way that would maximize the returns from each investment while minimizing the risk.
Financial accounts typically include individual securities, bonds, funds, option instruments, foreign exchange markets, insured commodities, equity indexed mutual funds, preferred stocks, treasury bills, certificates of deposit, insured investment funds, bank accounts, money market accounts, CD’s, deposit boxes, withdrawal triggers, insurance accounts, investment grade currency pairs, mortgage backed securities, treasury checks, direct investment funds, broker dealers, retail investment, trust deed funds, securities option, and transfer agents. An investment management software solution allows for the creation and customization of personalized investment management solutions. There are many investment management software platforms available on the market. Some of the most popular include those developed by industry leaders who have experience in managing a variety of financial accounts. Before selecting an investment management software platform, there are a number of key considerations to make.
Identify the leading provider. The leading provider of investment management software systems will have extensive experience in the development, support, deployment, and maintenance of investment management software. The software must be able to integrate seamlessly with internal and external business applications and data. Leading providers will also have the experience and expertise to provide customized, end-to-end training courses to their clients. Many investment management software solutions will have a number of modules available from which fund managers can choose the ones that best meet their individual investment management needs.
Investigate the types of investment management software available. Typically, the investment management software includes two components: an asset inventory management component and a portfolio management component. The inventory component of the software provides a list of all current assets owned by the client. The portfolio management component of the software allows for the creation, tracking, identification, assessment, prioritization, and disposal of various types of assets. A typical investment management software package will include asset management, portfolio management and investment management software.
Explore the range of services offered. Depending on the type of investment management software being selected, a variety of services may be available from the company. Typical services include the creation and maintenance of an investment portfolio, research, performance monitoring, management of the estate of the client, and the preparation of tax reports. Leading providers will often offer additional services such as estate planning, investment banking, insurance, investment management and real estate asset management.
Explore the types of reports provided. The types of reports typically provided by investment management software are personal and group financial analysis reports. These reports provide information regarding individual portfolios, mutual fund investments, stock investments and bonds, and bond funds. They also provide analysis and data regarding the performance of each investment in terms of fees, distributions and total returns. Some examples of these reports include the following: Average yearly gains, maximum gains over the past five years, the average annual cash outlay for each of the past five years, the average rate at which the fund has been gaining money, and total amount of principal cash balance held by fund managers. Many providers will also provide monthly reports to the investors.
Analyze the common features. There are many common features that most investment management software programs will share. However, it is important to investigate the key considerations that investors will need to look for when choosing a solution. The key considerations are: whether or not the program can be easily customized; whether or not the program offers important reports such as historical returns and key performance indicators; and whether the system provides effective communication between the fund manager and investors.
Understand the investment management software. In order to successfully select and use an investment management software solution, investors will need to understand the key benefits and features of the investment management software. The features may include: whether the investment management software provides easy access to historical and current information; how easy it is to access the key performance indicators and other financial reports; what types of reports are provided; and how easy it is to communicate with the investment managers. The investment advisers will also need to discuss the plan with the client, review investment options and discuss the client’s objectives.
