Mutual fund subadvisor

Mutual fund subadvisor,

Definition of Mutual fund subadvisor:

  1. Hired by a fund manager to assist in the management of investment portfolios. A mutual fund subadvisor is a money manager who works outside of the fund itself. Subadvisors are authorized to manage either all or some of the assets within the fund with the goal of reaching specific objectives.

  2. Mutual fund subadvisors are associated with the management of sub-advised funds. Management investment companies partner with mutual fund subadvisors to offer mutual funds targeting specific objectives. A management investment company may seek to work with a subadvisor to improve the performance of a particular strategy or to offer a new strategy.

  3. A mutual fund subadvisor is a third-party money manager that is hired by a mutual fund company to manage an investment portfolio. Subadvisors are typically sought out by management investment companies because of their expertise in managing a specific strategy.

How to use Mutual fund subadvisor in a sentence?

  1. On the downside for investors, sub-advised funds tend to bring higher fees due to the need to pay both the subadvisor and the overall management company.
  2. Typically, a mutual fund company would bring in an outside manager because of that manager's expertise in managing a certain area of the market or specific strategy.
  3. A mutual fund subadvisor is contracted out by a main fund advisor or portfolio manager to handle specific facets of an overall strategy.
  4. On the upside, sub-advised funds are often managed by experts in a certain strategy, allowing a fund to bring a new strategy to market quickly and competitively.

Meaning of Mutual fund subadvisor & Mutual fund subadvisor Definition