What is portfolio

[aFRODITA]

I am a business management student. It is my childhood interest to achieve something in business or management field like my father did. Within couple of months I am going to complete my studies. Before entering world of portfolio management I want to know some more about portfolio and how it is related. Also I need to know little introduction about the modern portfolio theory. If anyone has experience and knowledge about this please helps to decide a good career and achieve it.

[Christina 80]

The fund is well expanded in both its stockpile and sectoral disclosures. Because of this multi sector- fund it has a much minor attentiveness threat than a usual sector fund. In portfolio fund it generally holds 35-40 stocks to extend athwart 35-40 sectors. . When you closely evaluate the equity portfolio, you can observe that a noticeably lofty investment has been made in baking sector. This enables the fund manager to distinguish the development potential of the Banking sector. Because of this; the system enjoys the profit of investing in the thriving services sector. The portfolio consists of several well-reputed construction companies of India. The portfolio is off-centered towards huge restrict as the fund seeks to take full advantage of the risk-return induce.

[Chakradev]

Modern portfolio theory or MPT is a theory of investment or assets which efforts to exploit portfolio predictable return for a given quantity of portfolio risk, or consistently reduce risk for a given level of projected return, by cautiously choosing the proportions of a variety of assets. Even though MPT is extensively used in observe in the financial industry. In modern years the basic statements of MPT have been broadly confronted by the sectors such as behavioral economics. The MPT based on a mathematical formulation. It uses its notion of diversification in investing. It aims of picking a group of investment assets which has lower risk than other individual assets.

[Galbraith]

It is good thing that asking about portfolio. What is a Portfolio? Have you ever heard an investor who talks about portfolio? It means that they are referring all kinds of stocks, mutual funds, bonds and other assets which they won. If you have owned 20 shares of one company and 30 shares of other company then your entire portfolio amount will become 50 shares of stock. Everyone owns a different amount of portfolio of different kinds. The thing is you don’t aware about it in your normal lifetime. If you try to see and analyze in the business or management level you will find the answer of this.

[MaggieK]

In every sector there are different meanings and definitions of portfolio. In finance level the portfolio is defined as collection of investments detained by an organization or a person. The diversification is normally described as Holding a portfolio is a fraction of an investment and the approach of minimizing the risk. You can reduce your risks or a particular risk by holding or owning several assets. The portfolio assets may include bank funds, stocks, bonds, options, warrants, gold certificates real estate, futures contracts, production facilities, or any items that is anticipated to maintain its value.

[Mrigankasekhar]

To build an investment portfolio a financial institution will normally carry out its own investment breakdown. The other private persons or individuals may use the portfolio management services offered by a financial adviser or a financial institution. There are several strategies or tactics has been designed to form portfolio and it is also called as portfolio formation. The formations are:

• equally-weighted portfolio
• capitalization-weighted portfolio
• price-weighted portfolio
• optimal portfolio

[denpicardo]

Portfolio is the combination of two or more assets and it is constructed to see that the risk is minimised or at times alleviated.Holding a portfolio is a part of an investment and risk-limiting strategy called diversification.Portfolios require both the gathering and presentation of evidence and an element of critical reflection or commentary.

Portfolio management is the process of building, managing and assessing an inventory of company products and projects..

In all sectors, there are different meanings and definitions of the portfolio. In the level of the financing portfolio is defined as a collection of investments held by an organization or individual. Diversification is generally described as having a portfolio is a fraction of an investment approach and minimize risks.