How to become a fund manager
Becoming a fund manager is a tough, time-consuming task and definitely involves knowing more than just the basic software used in finance like tally prime. It takes years, it’s not easy and even if you’re lucky enough to make your fortune it doesn’t come easy at all. Because of this difficulty, many people struggle with the decision to become a fund manager or not. But even if you’re not on this path but still want to be a successful entrepreneur it’s good to know what you should do in your practical steps. Today we’ll help you with that!
1. Networking
Your next step should be networking with people who are currently managing funds or have done so in the past. Ask them questions about their experiences and what they would recommend to someone who wants to be a fund manager. Many of these professionals will be happy to help you out and share their knowledge with you at no charge!
2. Internship
A very important step to becoming a fund manager is getting hands-on experience in the industry by interning with a hedge fund. Most hedge funds have their own internship program, which you can apply for through their website or through an independent recruiter.
You’ll receive real-world exposure and get to work with professionals on daily tasks like researching companies and writing reports. You’ll also get to learn how things actually work at the firm and make connections with other professionals at the firm who will become your future network.3
3. build relationships with other fund managers
Once you’ve got a solid understanding of your niche, it’s time to start building relationships with other fund managers in the space – this will be critical when it comes down to negotiating terms with investors and clients.
4. set up a website
Once you’ve identified a few promising opportunities and started building relationships, it’s time to start setting up a website for your new business account – this will help attract new customers, as well as provide an easy way for them to engage with you on social media platforms such as Facebook and Twitter.
5. Enrol for CFA/ MBA Finance
To gain the knowledge you need to become a fund manager it is crucial to enrol for CFA/ MBA finance. After completing your undergraduate degree, you can enrol in either of these courses. The CFA program takes around 3 years to complete, while the MBA program takes about 2 years to complete. Both programs are full-time courses and involve a lot of work. You will have to attend classes every day for at least 5 hours per week and prepare weekly reports as well as quizzes and assignments.
The good thing about these programs is that they teach you how to think like a professional investor and how to make investment decisions based on fundamental analysis rather than trying to predict short-term market movements. This knowledge will help you in managing your own funds and advising clients on their investment choices.
6. Read
The first step to becoming a fund manager is to read about the industry and its different aspects from knowing about sundry creditors to the entire process of mergers and acquisitions. You will learn about the main products, their risks and rewards, as well as their advantages and disadvantages. The more you know about your investment, the better you can tailor it to your client’s needs.
