In order to define and explores the concepts of the investment market, it is necessary to know about the investments and why it is necessary. An investment is considered as an item or asset that is required for acquiring the goal of generating appreciation and income. In terms of the economic, and investment is referred to as the purchasing of the goods which are accounted for consumptions of today, but it can be used in the future in order to generate the sound income. In the financial terms, the investment is considered as the monetary asset that is purchased by using the various ideas which will provide income in futureLater on, it will be sold at higher price in order to generate profit (Mason, 2019).

The investment markets are the platform that is engaged in the distribution of the investment and any kind of bonds. It includes various kinds of outlets and channels, as well. For the bonds, the chief markets exist among the various classes of purchases. Private investors or investing publically, savings, insurance companies, trust companies, speculative public, trustees and trust estates, foundations, fraternal orders, endowments, and clubs (Dubey, 2012). Business concerns are one of the most important and well-known investment markets. This essay explores the concepts of investment management along with the processes of investment management. The details of the investment market are also provided in the initial parts of the paper. Meanwhile at the end of the essay all of these concepts related to the investment management and market will be concluded in effective manners, which will explain the informative information in a good way.

Concepts of investment management

Investment management is explained as the process of planning, organizing, leading, and controlling investments. It is also known as the handling of the various investments and several other financial assets. It does not include the only selling and buying of the financial assets. The management of the investment is contained in the planning of the long and short term investment strategy in order to dispose of as well as acquiring the portfolio holdings. Tax services, duties, budgeting, and banking are also included in it. The financial management and investment management is the process of the management of the professional assets of numerous securities such as; securities, shares and bonds, and several other assets for attaining the particular investment goals for the investor's benefits (Travers, 2011).

Objectives of the investment management

The major aim and objective of the investment management are to investing in particular securities in a particular way in which one’s returns can be maximized as well as the risk can be minimized for attaining the goals of the investments.  There are multiple objectives for the investment management process as well as attain the balance between them (Jones, 2009).

Types of portfolio management

There are four major types of investment management, from which onlyu two are discussed here and these are also referred to as portfolio management (Friedberg, 2019).

Active portfolio management:

The major goal and objectives of the active investment manager are to make better decisions for getting better returns according to the dictation of the market. The active managers are always engaged in the purchasing of the stocks when the prices of the stocks are undervalued. These all are used to selling various kinds of securities. The selling starts when they are trying to across the norms.

Passive Portfolio Management

In this investment strategy, the manger act as passive managers, and the management comes with the passive strategy.

Investment management process

In the decision making progress of the sound investments, the technical factors and the fundamental valuation is required. The investment management process depends on these three factors strongly. In order to select the framework of the security and design the allocation of the assets, the diligent process is usually used. It is also used in the security selection framework for the portfolios (van Duuren, 2016).

Asset Allocation: Building One Portfolio at a Time

In this process of investment management, a lot of challenges and opportunities are offered by the climate of the investments. The deep concern is required for the understanding environment of the market that is penalizing and rewarding that is usually used to maintain the asset allocation framework for opportunistic or defensive tone. According to the comprehensive management group, the investment management building begins with the sound. It also includes the process of the tested allocation.  For each of the various themes the particular investment management plan is constructed by using the processes of the central allocation as a guide. In this process of the investment management the process of the asset allocation is applied.  All of these investments should be diversified in well effective manners between the types of broad investments in the effort of providing the most optimal mix in order to meet the objectives of the varying investments.

Security Selection: Populating the Asset Classes

After the establishments of the assets allocation, the second step is related to the selection of security.  In this process, the populating asset classes are identified. It is also considered as the process of populating each portfolio along with the securities. This step is operated on the shared philosophy which is required for the well-defined analytical process and diligent fundamental research. This process is followed carefully.  This step of the investment process is also referred for the monitoring, identifying and recommending the opportunities for investment by which the potentials of the risk-adjusted returns and superior long term are offered. This step of investment management is emphasis on the securities of the investments because the selection of security is one of the most important and essential element while investing something in the market.

Portfolio Construction: Putting It All Together

The time of the portfolio construction is started at third after the asset allocation and then security selection. The essential elements in the process of investment management are to struggle in order to make sure that the securities combination is leading towards the portfolio's strong performance. It can be constructed by considering the variety of securities in the numerous classes of the assets as well as calculation all of these in a specific way. The strong performing portfolio does not ensure this. On  the portfolio the analysis must be established as whole in order to ensure the end combination which is also referred as strong, and it can make by it.  In order to address the objectives of the investment theme, each portfolio is particularly designed.

References of the Investment market

Dubey, S. (2012). Layman's Guide to Stock Market & Investment. Vij Books India Pvt Ltd, .

Friedberg, B. (2019). 7 Types of Popular Investment Portfolios. money.usnews.

Jones, C. P. (2009). Investments: Analysis and Management. John Wiley & Sons.

Mason, D. (2019). Exam Prep for: The State As Investment Market. Rico Publications .

Travers, F. J. (2011). Investment Manager Analysis: A Comprehensive Guide to Portfolio Selection, Monitoring and Optimization. John Wiley & Sons, .

van Duuren, E. P. (2016). ESG integration and the investment management process: Fundamental investing reinvented. ,. Journal of Business Ethics, , 138(3), 525-533.