equirus-logo

Fund Manager

Fund Manager.webp

Key Highlights

  • A Fund Manager is a professional responsible for managing an investment portfolio on behalf of investors, in line with the fund’s stated objectives, risk profile, and investment mandate.

  • Types of fund managers includes equity, debt, multi-asset and alternative fund managers.

Who is a Fund Manager?

A Fund Manager is a professional responsible for managing an investment portfolio on behalf of investors, in line with the fund’s stated objectives, risk profile, and investment mandate. Fund managers make decisions on asset allocation, security selection, and timing of investments to optimise returns while managing risk.

Fund managers typically oversee mutual funds, alternative investment funds (AIFs), portfolio management services (PMS), and institutional mandates.

Key Responsibilities of a Fund Manager

  • Defining and implementing the investment strategy

  • Conducting fundamental and market research

  • Selecting securities and managing portfolio allocations

  • Monitoring performance and adjusting positions

  • Managing risk and ensuring regulatory compliance

Types of Fund Managers

  • Equity Fund Managers: Focus on stocks and equity-linked instruments

  • Debt Fund Managers: Manage fixed-income and credit portfolios

  • Multi-Asset Fund Managers: Allocate across asset classes

  • Alternative Fund Managers: Manage private equity, real assets, or hedge strategies

Why the Fund Manager Matters?

  • Shapes Investment Outcomes: The fund manager’s decisions directly influence portfolio returns over time.

  • Manages Market Volatility: Active oversight helps navigate market ups and downs with discipline.

  • Controls Risk Exposure: Ensures the portfolio stays aligned with the fund’s risk profile and mandate.

  • Applies Research and Experience: Uses analysis, market insights, and experience to identify opportunities.

  • Maintains Consistency: Helps deliver performance aligned with stated investment objectives across market cycles.

FAQs on Fund Managers

1. Is the fund manager solely responsible for fund performance?

Not entirely. Performance depends on market conditions, investment mandate, and risk constraints, in addition to the manager’s decisions.

2. Can a fund have more than one fund manager?

Yes. Many funds are managed by a team to ensure continuity and diversified expertise.

3. How can investors evaluate a fund manager?

By reviewing track record, investment philosophy, consistency across cycles, and risk management approach.

4. Do fund managers invest their own money in the fund?

In many cases, yes, which helps align their interests with investors.

5. How often does a fund manager change a portfolio?

It varies by strategy - long-term funds trade less frequently, while active strategies may rebalance more often.