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What does a portfolio manager do?

Updated January 8, 2025
8 min read
What does a portfolio manager do

A portfolio manager is responsible for managing the clients' investment portfolios to advise them of the best investment plans to achieve their financial goals and objectives. Portfolio managers determine the most suitable options by evaluating the clients' credit score and risk potential and the client's financial background. A portfolio manager should be highly knowledgeable and updated with the recent financial industry changes to decide on investment plans with maximum returns.

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Portfolio manager responsibilities

Here are examples of responsibilities from real portfolio manager resumes:

  • Manage ongoing existing client needs and assist in credit structuring at loan origination.
  • Manage over $900M in U.S. Equities and fixed-income; are simultaneously responsible for monitoring over $1.4b in global assets
  • Manage governance, engage stakeholders and communicate budget impact to senior management.
  • Conduct post-promotion analysis and manage financial reporting to ensure favorable ROI for clients.
  • Create PowerPoint presentation books for clients.
  • Facilitate internal, external, GAAP audits.
  • Align all financial activity with regulations of GAAP.
  • Utilize BARRA and FactSet for benchmark return accuracy.
  • Act as liaison between CIO and other portfolio managers.
  • Prepare detail PowerPoint presentations, quarterly reports, and management fee invoices.
  • Recommend all aspects of investment, e.g., deal structure, taxation, etc.
  • Monitor foreign and domestic equities, corporate bonds, interest rate swaps and derivatives pricing.
  • Prepare internal client presentations using third party resources such as Factset and Barra risk models.
  • Recommend all aspects of investment, e.g., return analysis, capital structure, and taxation.
  • Expand origination support to marketing and independent dealers.

Portfolio manager skills and personality traits

We calculated that 10% of Portfolio Managers are proficient in Portfolio Management, Customer Service, and Risk Management. They’re also known for soft skills such as Organizational skills, Analytical skills, and Communication skills.

We break down the percentage of Portfolio Managers that have these skills listed on their resume here:

  • Portfolio Management, 10%

    Structured and maintained a process to enable Portfolio Managers to make disciplined portfolio management decisions incorporating both firm and client objectives.

  • Customer Service, 9%

    Demonstrated mastery of customer service call script within specified time Developed effective relationships with all call center departments through clear communication.

  • Risk Management, 5%

    Performed detailed due diligence on managers and carried out statistical analysis on portfolio construction, risk management and hedge overlay enhancements.

  • Project Management, 5%

    Dedicated, results focused project management professional with 18 years of experience driving implementation of key technology programs and strategic initiatives.

  • Financial Statements, 5%

    Maintained and analyzed accurate operating/financial statements.

  • Real Estate, 5%

    Analyze and underwrite proper documentation while managing extremely complicated credit decisions for mortgage and real estate investors on a daily basis.

Common skills that a portfolio manager uses to do their job include "portfolio management," "customer service," and "risk management." You can find details on the most important portfolio manager responsibilities below.

Organizational skills. To carry out their duties, the most important skill for a portfolio manager to have is organizational skills. Their role and responsibilities require that "because financial managers deal with a range of information and documents, they must have structures in place to be effective in their work." Portfolio managers often use organizational skills in their day-to-day job, as shown by this real resume: "conducted weekly project management status meetings with all organizational program managers. "

Analytical skills. Another essential skill to perform portfolio manager duties is analytical skills. Portfolio managers responsibilities require that "to assist executives in making decisions, financial managers need to evaluate data and information that affects their organization." Portfolio managers also use analytical skills in their role according to a real resume snippet: "analyzed risk and negotiate structured and asset management transactions to mitigate credit exposure for new and existing counterparts. "

Communication skills. This is an important skill for portfolio managers to perform their duties. For an example of how portfolio manager responsibilities depend on this skill, consider that "financial managers must be able to explain and justify complex financial transactions." This excerpt from a resume also shows how vital it is to everyday roles and responsibilities of a portfolio manager: "ensured effective communications and alignment among the key stakeholder groups: finance, accounting, operations and asset management. ".

Detail oriented. For certain portfolio manager responsibilities to be completed, the job requires competence in "detail oriented." The day-to-day duties of a portfolio manager rely on this skill, as "in preparing and analyzing reports, such as balance sheets and income statements, financial managers must be precise and attentive to their work in order to avoid errors." For example, this snippet was taken directly from a resume about how this skill applies to what portfolio managers do: "performed detailed due diligence on new properties and prepared detailed reports for senior management to use in the decision-making process. "

Math skills. Another crucial skill for a portfolio manager to carry out their responsibilities is "math skills." A big part of what portfolio managers relies on this skill, since "financial managers need strong skills in certain branches of mathematics, including algebra." How this skill relates to portfolio manager duties can be seen in an example from a portfolio manager resume snippet: "gained valuable exposure and experience in asset management working in a highly diverse, high pressure, highly quantitative environment. "

See the full list of portfolio manager skills

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Compare different portfolio managers

Portfolio manager vs. Manager, assistant vice president

A manager/assistant vice president is responsible for monitoring corporate projects and investment opportunities under the guidance of the vice president. Manager/assistant vice presidents meet with clients, provide project updates, and assist with any project adjustments as client requests. They identify business opportunities, develop strategic plans, and improve the organization's services to boost client satisfaction, generate more revenues, and achieve profitability goals. A manager/assistant vice president helps to maintain the company's good reputation by handling customers, resolving complaints, and evaluating staff performance.

We looked at the average portfolio manager salary and compared it with the wages of a manager, assistant vice president. Generally speaking, managers, assistant vice president are paid $9,308 lower than portfolio managers per year.While their salaries may differ, the common ground between portfolio managers and managers, assistant vice president are a few of the skills required in each roleacirc;euro;trade;s responsibilities. In both careers, employee duties involve skills like customer service, risk management, and project management.

These skill sets are where the common ground ends though. The responsibilities of a portfolio manager are more likely to require skills like "portfolio management," "excellent interpersonal," "oversight," and "financial analysis." On the other hand, a job as a manager, assistant vice president requires skills like "avp," "branch management," "hr," and "wealth management." As you can see, what employees do in each career varies considerably.

Managers, assistant vice president earn the highest salaries when working in the finance industry, with an average yearly salary of $97,121. On the other hand, portfolio managers are paid more in the finance industry with an average salary of $135,937.On average, managers, assistant vice president reach lower levels of education than portfolio managers. Managers, assistant vice president are 6.6% less likely to earn a Master's Degree and 0.6% less likely to graduate with a Doctoral Degree.

Portfolio manager vs. Assistant branch manager

An assistant branch manager's primary responsibility is to oversee the daily operations in their designated area, ensuring that everything is running smoothly from the workflow to the workforce. Although the tasks will vary depending on the organization or industry where one is involved, most of it will revolve around evaluating and monitoring employees' progress. Additional duties include responding to calls and inquiries, managing work schedules, and making sure that customers are satisfied with all services and transactions. Moreover, an assistant branch manager must also prioritize meeting the sales targets and staying within the allotted budget and deadlines.

On average, assistant branch managers earn a $64,758 lower salary than portfolio managers a year.A few skills overlap for portfolio managers and assistant branch managers. Resumes from both professions show that the duties of each career rely on skills like "customer service," "financial statements," and "business development. "

While some skills are similar in these professions, other skills aren't so similar. For example, resumes show us that portfolio manager responsibilities requires skills like "portfolio management," "risk management," "project management," and "real estate." But an assistant branch manager might use other skills in their typical duties, such as, "quality customer service," "branch management," "loan applications," and "bank products."

Assistant branch managers may earn a lower salary than portfolio managers, but assistant branch managers earn the most pay in the transportation industry with an average salary of $48,965. On the other hand, portfolio managers receive higher pay in the finance industry, where they earn an average salary of $135,937.Average education levels between the two professions vary. Assistant branch managers tend to reach lower levels of education than portfolio managers. In fact, they're 12.9% less likely to graduate with a Master's Degree and 0.6% less likely to earn a Doctoral Degree.

Portfolio manager vs. Banking center manager

A banking center manager is responsible for monitoring bank operations, auditing financial transactions, and ensuring that the banking staff provides the highest customer service for their clients. Banking center managers assist the team members in responding to the customers' inquiries and concerns regarding the financial options they offer, opening accounts, selling financial instruments, and resolving transactional complaints. A banking center manager must have excellent communication and analytical skills, especially in developing banking solutions that would increase the bank's reliability to the customers.

On average scale, banking center managers bring in higher salaries than portfolio managers. In fact, they earn a $13,914 higher salary per year.portfolio managers and banking center managers both have job responsibilities that require similar skill sets. These similarities include skills such as "real estate," "business development," and "client relationships," but they differ when it comes to other required skills.

There are many key differences between these two careers, including some of the skills required to perform responsibilities within each role. For example, a portfolio manager is likely to be skilled in "portfolio management," "customer service," "risk management," and "project management," while a typical banking center manager is skilled in "bank products," "bank policies," "customer relationships," and "regulatory compliance."

Most banking center managers achieve a lower degree level compared to portfolio managers. For example, they're 10.4% less likely to graduate with a Master's Degree, and 1.0% less likely to earn a Doctoral Degree.

Portfolio manager vs. Accounts payable manager

An accounts payable manager is in charge of supervising a company's financial activities, particularly in all payable matters. Their primary responsibilities revolve around managing and assessing staff performances and overseeing check and payroll disbursements. They also take care of maintaining and securing records of employees, clients, and company finances, and implement company objectives while ensuring accuracy in all operations. Furthermore, as a manager, it is essential to uphold all company policies and regulations, all while leading and encouraging staff in a joint effort to accomplish goals and tasks.

Accounts payable managers typically earn lower pay than portfolio managers. On average, accounts payable managers earn a $44,863 lower salary per year.According to resumes from portfolio managers and accounts payable managers, some of the skills necessary to complete the responsibilities of each role are similar. These skills include "customer service," "financial statements," and "cash flow analysis. "Each job also requires different skills to carry out their responsibilities. A portfolio manager uses "portfolio management," "risk management," "project management," and "real estate." Accounts payable managers are more likely to have duties that require skills in "reconciliations," "purchase orders," "vendor invoices," and "payroll. "In general, accounts payable managers earn the most working in the finance industry, with an average salary of $70,221. The highest-paying industry for a portfolio manager is the finance industry.In general, accounts payable managers hold lower degree levels compared to portfolio managers. Accounts payable managers are 11.0% less likely to earn their Master's Degree and 1.0% less likely to graduate with a Doctoral Degree.

Types of portfolio manager

Updated January 8, 2025

Zippia Research Team
Zippia Team

Editorial Staff

The Zippia Research Team has spent countless hours reviewing resumes, job postings, and government data to determine what goes into getting a job in each phase of life. Professional writers and data scientists comprise the Zippia Research Team.

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