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An investment portfolio can only be considered "diverse" if it consists of multiple different types of investments. When thinking of investments, the most common types that come to mind are stocks, bonds, and mutual funds. It's important not to forget to have other types in your portfolio. For example, do not forget about cash investments. Usually shorter term investments, or something as simple as putting money in a savings account, it's important to keep a small amount invested in cash.

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Q: What is a diverse investment portfolio?
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Related questions

How can we call a Company with a diverse portfolio of businesses?

company with a diverse portfolio of businesses


What would not be part of an investment portfolio?

An investment portfolio is a group of investments in which an investor intends to make a profit on the original invested money. A savings 529 plan would not be included in a investment portfolio as it is an education savings plan not an investment plan.


Distinguish between foreign direct investment and portfolio investment?

Foreign direct investment is the provision of capital into a company or project by a financier who is from a foreign country. In portfolio investment, anyone can invest in the portfolio, whether or not he is from a local company or a foreign company.


What is meant by the term portfolio investment?

Portfolio investment refers to investments in foreign countries that are withdrawable at short notice, such as investment in foreign stocks and bonds.


Can Diversification reduce the weight of an investment in a portfolio compared to an undiversified portfolio?

Yes, diversification can reduce the weight of an investment in a portfolio compared to an undiversified portfolio. When a portfolio is diversified, the investments are spread across different assets or asset classes, which helps to mitigate the risk associated with any individual investment. As a result, the weight or allocation of any single investment in the portfolio is reduced, reducing the impact of any potential losses from that investment.


What are the disadvantages of portfolio investment?

u lose everything


What is the difference between diversifiable risk and non-diversifiable risk?

Investment risk that can be reduced or eliminated by combining several diverse investments in a portfolio. Non-market (non-systemic) risks are diversifiable risks.


What is scrip?

scrip lending is when a Collective Investment Fund or Portfolio borrows money to repurchase from another Portfolio


When switching investment companies will I need to create a new portfolio?

When switching investment companies, you will be able to carry your old portfolio to your new investment company. There may be a penalty involved, or a fee, so check carefully before withdrawing.


What is scrip lending?

scrip lending is when a Collective Investment Fund or Portfolio borrows money to repurchase from another Portfolio


What is the total collection of all your investment types referred to as?

Portfolio.


Where can one buy books on investment analysis and portfolio management?

One can buy books on investment analysis and portfolio management from Amazon where they have numerous books of this description. One can also get them from eBay.