Are you confused about how to pick someone who can manage your money better than you can? You’re not alone. With so many people claiming to be experts, choosing the right investment manager can be confusing and risky.
One wrong decision could cost you years of hard-earned savings. You want someone skilled in investment management, someone who understands investment analysis and portfolio management, and someone who makes smart investment decisions in financial management.
But how do you tell the real deal from the smooth talkers?
This post will help you understand every step, from identifying your goals to making the final decision, so you can choose the right investment partner with confidence.
What Defines Great Investment Management?
Before you go looking, know what you’re looking for.
Investment management means handling money and assets, like stocks, bonds, or even real estate, on behalf of someone else, with the aim of growing their wealth or meeting specific financial goals.
Some people invest directly through contracts with a manager, while others go through shared options like mutual funds, ETFs, or real estate trusts. It’s all about making smart decisions to manage risk and grow value over time.
A good investment manager should:
- Understand your financial goals.
- Have strong credentials, ideally a CFA course certification.
- Show real results through performance history.
- Explain things clearly and simply.
- Stay transparent with fees and investment choices.
It’s not just about choosing someone smart; it’s about choosing someone right for you.
Step-by-Step Process to Pick the Right Investment Manager
In 2025, investment management firms face one of the most challenging risk-versus-reward situations seen in years. What began last year as early testing of generative AI is now moving into real business change.
Many firms have already gone beyond the trial phase and started using these new technologies to reshape how they operate. The firms that act fast and use these tools well could see strong gains, while those that hesitate may fall behind.
1. Understand Your Own Financial Goals First
Don’t hire anyone until you’re clear about what you want. Are you investing for retirement, buying a house, or just growing wealth? Knowing your timeline and risk tolerance helps your manager build the right plan.
You don’t need a finance degree. Just be honest with yourself about what you expect and when you expect it. That clarity will protect you later.
2. Look for Strong Credentials and Relevant Experience
Not all titles mean quality. Look for certifications like the CFA course, which is globally respected and ensures deep knowledge of investment management. A CFA-certified manager is well-trained in investment analysis and portfolio management, ethics, accounting, and economics.
Also, ask: have they worked with clients like you before? Have they shown results over different market cycles?
3. Check Past Performance and Real-World Results
No one can promise future returns, but past performance does matter. You want someone with a proven record, especially during tough times.
Ask for:
- Year-on-year return snapshots
- Benchmarks compared to industry averages
- Client testimonials or case studies
You’re looking for consistency and stability in investment decisions in financial management.
4. Know Their Strategy: Are They a Good Fit?
Every investment manager has a way of doing things. Some are aggressive, others conservative. Some focus on stocks, others on bonds or index funds.
Ask questions like:
- How do you decide where to invest?
- What will you do if the market drops?
- How often do you rebalance my portfolio?
A manager’s investment analysis and portfolio management strategy must match your comfort level. If they can’t explain their method clearly, that’s a red flag.
5. Ask About Fees, Transparency, and Communication
Good investment managers don’t hide things. They’ll explain how they charge (flat fee, percentage of assets, or performance-based), how often they report, and how you’ll stay updated.
Remember, lower fees don’t always mean better value. What matters is how much of a return you get after costs.
6. Review Everything and Then Decide
Don’t rush. Shortlist two or three managers and compare them side by side.
Comparison Table: How to Evaluate Final Candidates
| Criteria | Manager A | Manager B | Manager C |
|---|---|---|---|
| CFA Certified (Yes/No) | Yes | No | Yes |
| Experience (Years) | 10 | 5 | 8 |
| Risk Style | Moderate | Aggressive | Moderate |
| Fee Structure | 1% of AUM | 1.5% of AUM | Fixed + Performance-based |
| Past 3-Year Returns | Consistent | Variable | Steady |
| Availability for Consultations | Monthly | Quarterly | Monthly |
Use this table as a quick reference. It helps you stay focused on facts & avoid emotional decisions. Tick off what matters most to you and shortlist accordingly.
Even if you’ve made the right pick, it’s smart to check in every year. Has the strategy changed? Are you still getting value? Life changes, and your manager should grow with you.
Process Flow to Pick the Right Manager
- Identify your financial goals
- Evaluate potential managers
- Check credentials & performance
- Understand their investment strategy
- Discuss fees and transparency
- Final decision and regular review
Get Trained by India’s Best for Your Career in Investment Management
Imarticus Learning has trained thousands of professionals to clear the CFA exams and succeed in investment decisions in financial management. At Imarticus Learning, we offer a globally recognised CFA course that prepares professionals for top-tier careers in investment analysis and portfolio management.
This programme covers everything from accounting to portfolio theory, and includes live classes, one-on-one mentorship, and placement assistance.
Imarticus Learning offers:
- Dual-teacher model with one-on-one mentorship
- Resources from Kaplan Schweser
- Doubt-clearing sessions with CFA charterholders
- Money-back guarantee if you don’t pass (terms apply)
- Placement help once you pass the CFA Level 1
Whether you’re a fresh graduate or switching careers, this is your chance to join India’s top finance network. Picking the right investment manager isn’t just about experience; it’s about finding someone who gets you.
Someone who’s trained, tested, and trusted. And if you’re looking to become the expert yourself, the CFA course from Imarticus Learning is your first big step.
Explore the CFA Programme by Imarticus Learning!
Enrol now!
FAQ
- What qualifications should an investment manager have?
A. Ideally, they should hold a CFA course certification and experience in investment analysis and portfolio management. - How can I judge the past performance of an investment manager?
A. Check for multi-year return consistency, benchmark comparison, and how they performed in market downturns. - Is the CFA course necessary for a career in investment management?
A. It’s one of the most respected certifications in the industry, especially in investment decisions in financial management. - What’s the benefit of the CFA course from Imarticus Learning?
A. Live sessions, Schweser resources, mentorship, job support, and a money-back guarantee make it a complete package. - How do I match a manager’s investment strategy with my goals?
A. Ask about their risk appetite, investment methods, and how they rebalance portfolios during volatility. - Can I trust fee-only managers over commission-based ones?
A. Fee-only managers tend to offer unbiased advice, but always review what works best for your needs. - When should I re-evaluate my investment manager?
Annually or whenever your financial goals change significantly.
