These advisors invest the client’s money into Vanguard’s family of mutual funds, on which the asset management division charges its asset management fees. Foreign Direct Investment: What’s the Difference? Defined Portfolio A defined portfolio is an investment trust that invests in a predefined portfolio of bonds or stocks chosen by the fund company. A number of asset management firms the typical American has never heard of are immediately recognizable to those in the top 1 percent in terms of wealth. Your Practice. You can deposit your money, earn interest on it, write checks when needed, buy shares of stock, invest in bonds, acquire mutual funds, and a number of other securities all from this one, centralized account.