Assets like a house? or money you can use to trade?
In: Mathematics
Assets Under Management (abbreviated as AUM) refers to the assets that a wealth management company, stock brokerage, mutual fund company or hedge fund is holding for their investors. Suppose I open a wealth management firm and get my brother in law to give me $1000 to manage. My AUM is $1000. I don’t own this, my brother in law does. Now suppose that I invest it well and it has doubled to $2000. My AUM is now $2000. Retail investors don’t have AUM. And real estate would only count if it was being held in trust by some management company for the benefit of the actual owner.
Latest Answers