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is the professional of various ( , and other ) and other (e.g., ) in to meet specified for the benefit of the . may be ( , , , charities, educational establishments etc.) or private (both directly via and more commonly via collective schemes e.g. or exchange-traded ).
Theis often used to refer to the of collective , while the more may refer to all forms of institutional as well as for private . who specialize in advisory or discretionary behalf of (normally wealthy) private may often refer to their services as or often within the context of so-called "private banking".
Theof services includes elements of , selection, , plan implementation and ongoing monitoring of . Coming under the of financial services many of the world's largest are at least in part and employ millions of staff.
According to a Boston Consulting Group study, themanaged professionally for reached an all-time of US$62.4 trillion in 2012, after remaining flat-lined since 2007. Furthermore, these were expected to reach US$70.2 trillion at the end of 2013 as per a Cerulli Associates estimate. The global is highly concentrated in nature, in a universe of about 70,000 roughly 99.7% of the flows in 2012 went into just 185 . Additionally, a majority of that more than 50% of their inflows just three .
The business ofhas several facets, the employment of professional , research (of individual and ), dealing, , marketing, internal auditing, and the preparation of for clients. The largest financial are that exhibit all the complexity their demands. Apart from the people who bring (marketers) and the people who (the ), there are compliance staff (to ensure accord with legislative and regulatory constraints), of various kinds (to examine internal systems and ), financial (to for the own and ), computer experts, and " " employees (to track and record and for to thousands of clients per ).
In practice, the ultimate owners ofoften do not the power they collectively (because the owners are many, each with small holdings); (as ) sometimes do. There is a general belief that – in this case, the acting as agents—could and should more influence over the in which they (e.g., to to , to ensure Boards effective functioning). Such action would add a pressure group to those (the regulators and the Board) overseeing .
However there is the problem of how the-- Wikipedia should this power. One way is for the to decide, the other is for the to poll its . Assuming that the polls, should it then: (i) Vote the entire as directed by the majority of votes cast? (ii) the vote (where this is allowed) according to the proportions of the vote? (iii) Or respect the abstainers and only vote the respondents' holdings? The generated by large or not the may contribute to change. For example, this is the case when a large sells his in a , leading to (possibly) a decline in the , but more importantly a of confidence by the in the of the , thus precipitating changes in the team.