Asset Under Management [AUM] Law and Legal Definition

Asset under management means a securities function involving ongoing, regular supervisory or management services from the part of an investment adviser. Assets under management (AUM) is a term used by financial services companies in the mutual fund, hedge fund, money management, investment management, wealth management, and private banking businesses to estimate how much money they are handling. An asset under management generally bars assets of the fund principals. Therefore, asset under management is like the amount of deposits held by a bank. Many financial services companies use this as a standard of success and comparison against their competitors.