How do asset managers make money?

As an asset manager, you make money by charging a management fee for your services. The fee structure can vary from firm to firm, but an annual fee of one to two percent of the total value of assets managed is common. In other words, the bigger the client, the higher your fee. In some financial advisor positions, you may work off of commision. However, this is uncommon in the asset manager role. The fee-only system encourages a deliberate and thoughtful long-term strategy over the pursuit of high-payouts from risky investments.