Investment Management Firms in Massachusetts Key Terms
Learn some terms associated with investment management firms in Massachusetts
Investment management firms in Massachusetts provide the financial tools that allow businesses to thrive within the state. From giving capital loans to helping a business fund pension and health care plans, investment firms are an integral part to a thriving company.Take the time to learn some of the terms associated with investment firms of Massachusetts so that you know what to expect when creating a business relationship. Here are some commonly used terms along with some resourceful links to help get you started.
Financial planning
Financial planning is a common service offered by investment firms that reaches beyond stock and mutual fund portfolios and seeks to provide monetary security for the milestones of life. Financial planning includes, but is not limited to saving for a home, saving for collegiate education, saving for retirement, diversifying investments in stocks, bonds and real estate and properly planning for yearly tax responsibilities.
Try: Visit the website for O'Brien Management, a Massachusetts based investment company, for additional information on financial planning.
Equities strategy
Equities strategy refers to the planning and implementation of a strategy for stock portfolio investment. The term equities can be interchangeably used with stocks.
Try: Go to the website for Abbot FM in Massachusetts for additional information on equities strategy.
Research publications
Research publications refer to the materials that are given to the client by the investment firm, which detail the financial history of a company or investment that is being considered. For instance, public traded companies (companies with stocks) must file a quarterly financial report with the Securities and Exchange Commission. That quarterly report would be an example of a research publication offered from the investment firm to a client.
Try: Visit the website for AEW Capital Management, a Boston based investment management firm, for additional information on research publications.
Distressed debt
Distressed debt investing is a process of purchasing the bonds of companies who are already in default on those bond notes. Typically, the distressed debt is quite cheap and can pay handsomely if the company is able to turn itself around or be bought by a larger company that absorbs that debt.
Try: Go to the website for Babson Capital, another Massachusetts based investment management firm, for a further discussion of distressed debt.
Fixed income investing
Fixed income investing refers to investing in a product that is guaranteed to provide a return. A government bond would be an example. An investor invests $1000 for instance on a bond paying 10%. When the bond hits maturity, the investor will receive $1100. Fixed income investing usually produces lower yields because the risk is much less than other investments. Many corporations use fixed income investing for things like pensions plans.
Try: Visit the website for Boston Trust for more information on fixed income investing.
Business benefit planning
Business benefit planning refers to properly funding the benefits that a corporation extends to the employees at the company. This includes pension funds, group health planning, 401k planning and more.
Try: Visit the website for Wealth Control Advisors in Massachusetts for more information on business benefit planning and what it entails.
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