Hiring an investor to use your company's money, pros and cons

If your company is looking into investing money, and is unsure about what steps to take or where to look, you might be interested in hiring an investor.These investors, which are also called investment managers, are people who are specialized to help your company make the most out of their investments.Different investors and investment managers are found at large investment firms like Merrill Lynch and Morgan Stanley Dean Witter.There are advantages and disadvantages to hiring an investor to use your company's money.Here are a couple of the pros and cons:

1) PRO - An investor or investment manager receives formal training for their work.Depending on their qualifications, they can make very wise decisions for your company's investments, and often have insights that are not seen by normal people.In addition, their training allows them to work efficiently and quickly with your investments and money.There are also investment programs that are used by investment managers and investors to help them work in the most efficient manner possible.Therefore, you are able to save a lot of time by if you hire an experienced investor - you will not have to waste your precious time trying to learn the logistics of investing!

2) CON - Investors and investment managers can be relatively expensive.This makes it relatively difficult to find a good investor or investment manager at a reasonable rate.There are several fees that are associated with investment managerial duties.A standard full-service investment manager will charge around $150 for a run-of-the-mill trade.In addition, these full-service houses also often will bill you for annual "maintenance" costs, which can be over $150.There is another option available from other full-service firms, which allows an unlimited number of free trades, but then you will be charged 1% to 1.5% of your total assets every year.Alternatively, there are also discounted brokers who will charge anywhere from $5 to $25 for an online, individual trade, but you should remember that these discounted brokers often do not have the qualifications and experience of a full-service investor.Depending on the complexity of your investments and stocks, you will need to consider if you need a stockbroker or investment manager that has more experience.
3) PRO - If you hire an investor or an investment manager, they will be able to keep you up-to-date with what is going on in the market!Often in big companies, it is easy to get distracted and forget about what is going on with your investments.By the time that you actually get back to thinking about the company's investments, a lot of time could have passed by!An investor or investment manager can help you to keep current with the different things that are happening with your investment, and can constantly remind you about different sales, trades, or purchases that will be beneficial.
4) PRO - You can focus on your work!By having an investor take care of the investment issues within your company, this frees up the employees and administration to focus on their company.Then you will be able to work on continually making profits for further investments!Hiring an investor is a very good idea for this reason, because then your normal work time is not bogged down with investments and things that aren't directly related to your company's work.
5) PRO - If you are a company with a lot of assets, an investment manager can also help to advise you in other monetary aspects of your life, such as insurance and taxes.This is especially helpful for a company which doesn't have an individual responsible for those other important financing issues.Therefore, by hiring an investor, you can sometimes kill two birds with one stone and get financial help in other aspects as well!
6) CON - If you are a small company, it is sometimes hard to get a financial advisor, not only due to costs, but also because of competition.You might spend too much time trying to get an investor, when a qualified individual from your company might be able to competently help you invest.Time is always precious, so make sure that you don't waste too much time if its hard to get an investment manager from a full-service firm!