Mutual Fund

Role of fund manager

By Rajendra

Jan 7, 2024

who is fund manager?

Fund Manager is in charge of carrying out the fund’s investing plan and monitoring the trading of its portfolio.

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Role of fund manager

They operate within the guidelines established by the fund house and the mandate of the schemes they manage.

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Role of fund manager

Stock selection, sectoral exposure, profit/loss booking, churning, and cash holding are all governed by processes and rules.

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Role of fund manager

the fund manager is not allowed to divert from the mandate, which specifies that the scheme would invest in large-cap equities, and instead buy mid-cap stocks.

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Role of fund manager

Monitoring and analyzing the markets-

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Ensuring all legal compliances related to the stock market are fulfilled

Type of Fund Manger?

Fund managers can be divided into two categories: – Active Fund Manager – Passive Fund Manager

– Active Fund Manager

Active fund managers attempt to outperform their competitors and benchmark indices. manages large cap fund, mid cap fund, and sector fund

– Passive Fund Manager

Passive fund managers deal in assets that are included in a benchmark index. Passive Fund Manager who manages Index fund, ETF etc.