What is diversification with in the contextof financial managent?

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Diversification of one's portfolio (financial management) comes from having those monies placed amoung different asset classes such as stocks (equities), fixed income (bonds), real estate, cash, and alternative investments (hedge funds, collectables, etc.). These assets should also be diversified amoungst there respective classes. Stocks should be broken down to large cap, mid cap, and small cap. Fixed income should be broken down to corporate bonds, governmant bonds, and international bonds. Alternatives should be a smaller slice and all of these asset classes should be broken down based on one's risk tollerance and time horizon. Meaning that a 25 year old working professional will generally be allocated higher in equities than a 65 year old retiree. If you're looking for an easy way to accomplish all of thee above you may want to look at well diversified portfolio of ETFs or consult a good financial advisor for guidance.
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What is financial management?

Answer FINANCIAL MANAGEMENT IS AN MAMAGEMENT WHICH IS RELATED TO DEAL ALL THE FINANCIAL ACTIVITES Financial management is concerned with the acquisation, financing and management of assets with some overall goal in mind. In other words, Financial management is about planning income, and expenditur (MORE)

What is a financial manager?

A financial manager is a person in charge of a business' financial side (funding, financial planning, accounting). Some of their responsibilities include managing money to make sure that businesses are fufilling their financial obligations, seeking sources for more money, and financial goal-setting. (MORE)

Role of financial management in the business?

Financial management is very important or significant because it is related to funds ofcompany. Financial management guides to finance manager to make optimum position of funds. We can clearify its value in following 5 points. . 1. With study of financial management, we can protect our business fr (MORE)

What is the role of financial manager?

A financial Manager is a person or persons or business that manages the monitary affairs of an individual or connected/related individuals or indeed an entity or business to maximise monitary success or turn around a poor financial situation.

Importance of financial management?

Financial management is important in business because whenmanagement knows, they can make adjustments to ensure the businessremains operational. Financial management also helps business takeadvantage of opportunities.

What are the advantages of financial management?

hi this is neo., u need the advantages of financial management Definition of Financial Management In the words of phillppatos "Financial Management' is concerned with the management decisions that result in the acquisition and financing of long-term and short-term assets for the firm. As such, i (MORE)

Meaning of financial management?

Financial management is that managerial activity which is concerned of the firm's financial resources.Planning,directing,monitoring,organising and controlling of the monetary resources of an organisation. It requires 3 important functions!! 1. Financing or where do u get money from 2. Inv (MORE)

What is diversification?

diversification is a strategy adopted by rational investors by spreading and committing their fund in several investment. ie, if one investment does bad the other want will do good.

What are the decisions taken by financial managers?

Decisions are not taken, they are made. Financial managersobviously make decisions about MONEY. Where to spend it and howmuch and why. Business owners are typically the financial managerof a company simply because they want to make money.

What are Financial management goals?

The success or failure of a company, is highly dependent on itsability to effectively manage and increase its value ever fiscalyear. The implicit financial management goals for managers anddirectors of a company, is to run in the interest of shareholdersand shareholder wealth for long term profitabi (MORE)

Define Financial Manager?

A financial manager is an experienced individual responsible forproviding sound financial advice to clients. The financial managermay work within a banking environment, private institution, orfinancial planning firm.

Financial and management accounting?

The Financial accounting is mainly for the people outside a givenorganization such as the shareholders. The management accountingprovides information to the people within a given organization.

What is the definition of 'financial management'?

Financial management is that managerial activity which is concernedwith the planning and controlling of the firm's financialresources. Planning, directing, monitoring, organizing andcontrolling of the monetary resources of an organization. There are 3 important decisions involved: 1. Financing (w (MORE)

What are the Objectives of financial management?

Provide support for decision making. Financial managementprovides managers with the information and knowledge they need tosupport operational decisions and to understand the financialimplications of decisions before they are made. It also enablesmanagers to monitor their decisions for any potential (MORE)

Key activities of a financial manager?

A financial manager has three main duties. They are to manage thebudget of the company, keep a report of all financial transactionsand to manage the financial team.

What are the various approaches of financial management?

Traditionally Finance involves arrangement of funds required by the business enterprise from and through financial institutions ('from' signifies procurement of loan capital, and 'through' implies the selling of securities by financial institutions). Hence, the traditional approach of financial mana (MORE)

What financial managers do?

Functions of a FINANCIAL MANAGER: 1) financial planning and controlling 2) deciding financial policy 3) acquisition of funds 4) investment of funds 5) helping in evaluating decisions 6) maintaining proper liquidity 7) understanding the capital market by- chandni_jena@yahoo.co.in Good answer (MORE)

Objective of financial management?

Financial management is a discipline that allows manages and othersto be more in control of their finances. They get to learn how toinvest and make profits.

What is financial data management?

Most dealers understand the value of the collection of financial data, but also realize the challenges to harness this knowledge to create intelligent, active routes back to the client. Data mining technology - and the techniques for recognizing and tracking patterns in the data - helps businesses s (MORE)

Objectives of cash management in financial management?

•To find out the liquidity position of the concern through ratio analysis.. •To study the growth of RaneMadras Private Ltd.in terms of cash flow statement.. •To know the short term Solvency Position of the company..

Role of financial manager?

I have a 4 year degree in Accounting and understand the importance of Sales, Customer service and profitability, as well as working in a safe environment. I believe in "hands - on" financial management from both a micro and macro economic point of view. I believe my 18 years of accounting experience (MORE)

How do limitations on domestic geographic diversification affect an financial institution profitability?

Any increase in profit due to economies of scale is lost onincreased risky behavior from the company. As companies expand theyinturpret risk differently, what used to be a risky endevor,"morgaged backed securities" now seems to have a smaller impact ofrisk compared to the larger size of the company. (MORE)

What is the importance of learning financial management?

Financial Management Importance Financial management importance can be explained as management of money matters. It deals with managing money in all areas of life. Financial management includes personal financial management and organizational financial management. Personal finance management wi (MORE)

Is it easy to get financial management?

Yes it's very easy, for there are many ads for financial management, just find one and choose the one that best suits you. Most people avoid ads because they think they're scams, but it may surprise you how many aren't actuually scams.

How can someone learn to do financial management?

Well bro you know what? You can't really learn Financial Management. Its a technique for analysis of financial information. U wanna be good in it?? Well start analysing various balance sheets of different industries.. Or u can also take up a course for Management in finance..

What is role of manager in financial company?

firstly the main role of manager to fully know about the today's finance and they have a lot of knowledge about the financial things........and also know about the in which way they can handle finance.......

What is the goal if IT Financial Management?

The goal of IT Financial Management is to ensure that optimal use is made of the organization's financial resources and that this is achieved in compliance with the regulatory framework within which the IT service provider operates.

What are the key activities of financial management?

The key activities of financial management are as follows:>Makeas much profit as possible>Make sure the shareholders have asmuch money as one can>Estimate the whole amount of financialrequirements of the company>Make sure owned finance and borrowedfinance remain balanced>Improve well being for the c (MORE)

What is the advantage and disadvantage financial management?

Advantages: it allows you to have cash when that cash is required (helping prevent bankruptcy) and helps you understand the profitability of the business Disadvantages: Financial reports are like the tail on a dog: at best they point to where the dog/company has been. They are no substitute for v (MORE)

What is financial management with resonable example?

Financial Management is more than or more comprehensive then managing a check book or making a budget. It is a long-term comprehensive planning for your money and investments. Examples are this yes you need to do the basics current income sources and current expenses but the leftover values not spe (MORE)

What Are objective of learning financial managements?

Objectives of Financial Management . The financial management is generally concerned with procurement, allocation and control of financial resources of a concern. The objectives can be-. To ensure regular and adequate supply of funds to the concern.. To ensure adequate returns to the shareholders (MORE)

What are the financial manager responsibility?

A financial manager is responsible for providing financial adviceand support to clients and colleagues to enable them to make soundbusiness decisions. Specific work environments vary considerablyand include both public and private sector organisations, such asmultinational corporations, retailers, f (MORE)