What Is A Discretionary Investment Management Agreement

Discretionary investment management can only be offered by individuals with extensive investment experience and advanced training knowledge, many investment managers with one or more professional names such as Chartered Financial Analyst (CFA), Chartered Alternative Analyst Chartered Alternative Analyst (CAIA), Chartered Market Technician (CMT) or Financial Risk Manager (FRM). On the other hand, the minimum account balance and high fees can be a major obstacle for many investors, especially those just starting out. A new investor with a small investment amount would not be able to benefit from this type of investment. In the event that the client asks the manager for advisory services that are outside the scope of this contract, the client and the manager may agree in writing on certain conditions for these advisory services to be provided by the manager as a separate agreement. In order to avoid any doubt, the termination or termination of these services does not result in the automatic termination of this contract if a separate agreement is reached for these services. Discreet investment managers demonstrate their strategies through a systematic approach that facilitates reporting of results and the implementation of investment strategies in a certain way. Investments are not tailored or tailored to a client; On the contrary, investments are made according to client strategies. In other words, clients are grouped according to their goals and risk tolerance. Each group will then create the same investment portfolio from the pool deposited by the clients.

The actual client account is separate and the invested funds are weighted on individual investments. Discretionary investment management is a form of investment management in which buying and selling decisions are made by a portfolio manager or investment advisor on behalf of the client. The term “discretionary” refers to the fact that investment decisions are made at the discretion of the portfolio manager.

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