The Importance of Asset Management
One factor in financial literacy is learning about the benefits of proper asset and property management practices.
What is Asset Management, and Why is it Important?
The asset management function has been sidelined in many organizations, let alone for individuals.
If you’re part of the 43 percent of small businesses that fail to track assets and inventory effectively, you might wonder, “What’s asset management?” Well, it’s more than just keeping track of your assets.
An asset is a resource that has economic value and is expected to provide a future benefit. Assets can be owned by individuals, organizations, or governments, and they’re often used to generate income, support operations, or achieve strategic goals.
Asset management is the systematic process of acquiring, operating, maintaining, upgrading, and disposing of assets in a cost-effective manner. When done right, asset management benefits everyone, including employees, decision-makers, and stakeholders.
Effective asset management can help individuals and businesses to:
- Optimize the use of their resources
- Cut costs
- Improve service delivery
- Comply with regulations
- Improve ROI and attain their strategic goals
Asset management is critical to any organization looking to grow its portfolio.
Asset Management Awareness Month
Every year in March organizations and individuals are encouraged to participate in events, workshops, and training sessions to learn about the latest trends, best practices, and tools in asset management.
The goal is to promote a better understanding of the importance of asset management and how it can benefit organizations and communities.
The concept of asset management has been around for decades, and organizations have long recognized the importance of managing their assets effectively.
With the increasing complexity of modern organizations and the growing demand for the effective use of resources, the importance of asset management has only grown in recent years. Working with an investment counselor can help you understand the benefits of good asset management practices and encourage their implementation.
How to Observe Asset Management Awareness Month
You can participate in this awareness month in various ways:
- Visit the NPMA calendar of events
- Attend free online webinars hosted by the NPMA
The NPMA hosts weekly webinars on topics related to asset management during Asset Management Awareness Month.
You can schedule a 1-hour lunch and learn event, browse a host of varying topics, save them to a curated playlist, and view them on demand.
Spreading the Word About Asset Management Awareness Month
You can help spread the word by:
- Sharing monthly events list at the start of the month
- Creating material to be disseminated. This can include post flyers with webinar information in common areas.
- Sharing content on LinkedIn and social media pages
Asset Management Awareness Month seeks to provide an opportunity to:
“Safeguarding your assets can help reduce inefficiencies and improve profitability,” says Robert Cavanagh, Senior Vice President, Investments for David Lerner Associates. “It’s a vital part of your financial future.”
Material contained in this article is provided for information purposes only and is not intended to be used in connection with the evaluation of any investments offered by David Lerner Associates, Inc.
This material does not constitute an offer or recommendation to buy or sell securities and should not be considered in connection with the purchase or sale of securities.
To the extent that this material concerns tax matters, it is not intended or written to be used, and cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law. Each taxpayer should seek independent advice from a tax professional based on his or her individual circumstances.
These materials are provided for general information and educational purposes based upon publicly available information from sources believed to be reliable– we cannot assure the accuracy or completeness of these materials. The information in these materials may change at any time and without notice.
Member FINRA & SIPC.