Financial and business terms. 2012.
well-diversified portfolio — A portfolio that includes a variety of securities so that the weight of any security is small. The risk of a well diversified portfolio closely approximates the systematic risk of the overall market, and the unsystematic risk of each security has … Financial and business terms
Modern portfolio theory — Portfolio analysis redirects here. For theorems about the mean variance efficient frontier, see Mutual fund separation theorem. For non mean variance portfolio analysis, see Marginal conditional stochastic dominance. Modern portfolio theory (MPT) … Wikipedia
Factor portfolio — A well diversified portfolio constructed to have a beta of 1.0 on one factor and a beta of zero on any other factors. The New York Times Financial Glossary … Financial and business terms
factor portfolio — A well diversified portfolio constructed to have a beta of 1.0 on one factor and a beta of zero on any other factors. Bloomberg Financial Dictionary … Financial and business terms
Diversified Carry Basket — A forex trading strategy in which multiple carry trades are conducted simultaneously in order to limit risk. A diversified carry basket uses diversification to reduce exposure to a particular currency position, and can include both major… … Investment dictionary
Granular Portfolio — A type of portfolio that is well diversified across a wide variety of areas, typically with a significant number of holdings. Because these portfolios contain a large number of positions over many areas, they are considered to have a lower… … Investment dictionary
Capital asset pricing model — In finance, the Capital Asset Pricing Model (CAPM) is used to determine a theoretically appropriate required rate of return of an asset, if that asset is to be added to an already well diversified portfolio, given that asset s non diversifiable… … Wikipedia
United States trust law — Introduction Most law regulating the creation and administration of trusts in the United States is now statutory at the state level. In August 2004, the National Conference of Commissioners on Uniform State Laws created the first attempt to… … Wikipedia
Diversification — A risk management technique that mixes a wide variety of investments within a portfolio. The rationale behind this technique contends that a portfolio of different kinds of investments will, on average, yield higher returns and pose a lower risk… … Investment dictionary
Price Risk — The risk of a decline in the value of a security or a portfolio. Price risk is the biggest risk faced by all investors. Although price risk specific to a stock can be minimized through diversification, market risk cannot be diversified away.… … Investment dictionary
