Sunday, May 14, 2006

Management Accountant as a Financial Planner.

Management Accountant-an accountant of the future for Governance-Both Corporate world and the Government.
With the development of Capital markets(Globally)and alsoRegulatory funds(pension fund etc)Mutual funds and merchant banking divisions and various other financial products the industry has been seriously in search for financial planners .
Here is where the role management accountants in this new dimension will prove quite helpful.Management accountant with his focus on value addition concentrates on Cost-benefit relation.
Portfolio management involves managing the cost of investment,analysing trends of movement of the portfolio-Risk return analysis,The frequency of re-parking at a given point in time to optimise return,Opportunities of covering risks(analysis of the same-say adopting hedging/futures etc),deciding on the quantum to be dislodged from the portfolio for reinvestment. So primarily these involves Cost-risk-return study and Management accountant possess the required skills to provide solutions to these situations more than any other brand of accountant or financial planners.

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