Search results
Results from the WOW.Com Content Network
In finance, diversification is the process of allocating capital in a way that reduces the exposure to any one particular asset or risk. A common path towards diversification is to reduce risk or volatility by investing in a variety of assets .
Diversification involves spreading your money across a variety of investments and asset classes. A diversified portfolio helps to reduce risk and may lead to a higher return.
Example investment portfolio with a diverse asset allocation. Asset allocation is the implementation of an investment strategy that attempts to balance risk versus reward by adjusting the percentage of each asset in an investment portfolio according to the investor's risk tolerance, goals and investment time frame. [1]
Strategic planning is an organisation’s process to outlining and defining its strategy, direction it is going. This led to decision making and allocation of resources inline with this strategy. Some techniques used in strategic planning includes: SWOT analysis, PEST analysis, STEER analysis.
Diversification could hinder your investment strategy: It could cause constraints on asset allocation due to spreading investments across various asset classes, which could potentially reduce your ...
“Many retirees misunderstand diversification, presuming it solely involves spreading funds across different bank accounts or varied financial products,” said Tammy Trenta, a financial planner ...
Financial analysts often assess the following elements of a firm: Profitability - its ability to earn income and sustain growth in both the short- and long-term. A company's degree of profitability is usually based on the income statement, which reports on the company's results of operations;
Diversification (finance) involves spreading investments; Diversification (marketing strategy) is a corporate strategy to increase market penetration; Diversification of firms through mergers and acquisitions