AUM
Business & Finance abbreviation · Finance
| Stands for | Assets under management |
|---|---|
| Categories | Business & Finance |
AUM stands for Assets under management, a finance abbreviation.
Total market value of the investments that a fund manager, bank or adviser manages on behalf of clients. It is the main measure of an asset manager's size, and because management fees are usually a percentage of AUM, it drives the firm's revenue.
Example: BlackRock reported more than $10 trillion in AUM, the most of any asset manager.
Usage notes
AUM changes with both investment performance and net client flows. Definitions vary: some firms include advisory or administered assets that they do not actively manage, so comparisons should be made carefully. A wealth manager charging 1 percent a year on $500 million of AUM earns about $5 million in fees.
Related abbreviations
More finance abbreviations
- ABL – Asset-based lending
- APA – Asset purchase agreement
- APV – Adjusted present value
- ARR – Annual recurring revenue
- ATM – At-the-market offering
- CAGR – Compound annual growth rate
- CapEx – Capital expenditure
- CAPM – Capital asset pricing model
- CCC – Cash conversion cycle
- CIM – Confidential information memorandum
- CVC – Corporate venture capital
- D/E – Debt-to-equity ratio