What is included in Assets Under Management?

Assets under management (AUM) typically include a wide range of investment products that a financial institution manages on behalf of its clients. Some common types of assets that may be included in AUM are:

  1. Stocks and equity investments: These are investments in individual stocks, mutual funds, or exchange-traded funds (ETFs) that represent ownership in a company.
  2. Bonds and fixed income investments: These are investments in government or corporate bonds, which typically provide a fixed rate of return.
  3. Alternative investments: These are non-traditional investments, such as hedge funds, private equity, or real estate investment trusts (REITs).
  4. Cash and money market investments: These are short-term, low-risk investments, such as certificates of deposit (CDs) or money market funds.
  5. Other investments: AUM may also include other types of assets, such as commodities, currencies, or derivatives.

It’s important to note that the specific types of investments included in AUM may vary depending on the financial institution and its investment strategy. Additionally, AUM typically does not include assets that a client holds outside of the financial institution, such as individual retirement accounts (IRAs) or personal savings accounts.