Portfolio Manager Job Overview Portfolio managers make investment decisions for individual or business clients. They ...
Portfolio Manager Job Overview
Portfolio managers make investment decisions for individual or business clients. They make these decisions with the help of a team of financial analysts and research analysts. They help develop client portfolios and alter them quickly to respond to market changes. They also lead investor meetings.
Portfolio managers typically work for investment banks or asset management companies, including hedge funds.
Given their managerial responsibilities, portfolio managers must have strong leadership and communication skills. They must also be strategic thinkers with a superior financial knowledge and excellent risk management skills.
Portfolio Manager Job Education Requirements
Portfolio managers typically hold at least a master's degree, typically a master's in business administration or finance. Many have undergraduate qualifications in finance, business administration, economics, or accounting, and have taken courses in advanced mathematics and statistics. Most portfolio managers also work for several years as financial analysts to gain the experience they need to excel in this supervisory role. A Ph.D. in math or physics is required for some high-paying portfolio manager roles. In addition, portfolio managers who deal with the transfer of securities need federal licensing.
Portfolio Manager Job Market
The job market for portfolio managers is above average, with the Bureau of Labor Statistics expecting opportunities to increase by 16 percent between 2012 and 2022.
Portfolio Manager Job Salary Information
The average portfolio manager in the United States receives an annual salary of approximately $123,900. However, portfolio managers with advanced qualifications, and job experience who work in lucrative areas have the potential to significantly exceed the national average. For example, it's not uncommon for Ph.D. holders with 10 or more years of experience to command $450,000 a year. The average salary for portfolio managers working for hedge funds stands at approximately $2.4 million. Bonuses also commonly make up 25 percent of a portfolio manager's income.