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When a manager invests in a diverse array of stocks, the goal is to spread risk across different sectors and industries, reducing the impact of poor performance from any single investment. This diversification can lead to more stable returns over time, as gains in some areas may offset losses in others. Additionally, it allows the manager to capitalize on various market opportunities, potentially enhancing overall portfolio performance. Ultimately, a well-diversified portfolio can help achieve long-term investment objectives while mitigating volatility.

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3d ago

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A blank is invested by managers in a diversity of stocks bonds and other securities?

A fund invested by managers in a diversity of stock, bonds, and other securities is called a mutual fund. Most mutual funds are open-ended which means that stockholders may purchase or sell shares at any given time.stockholders can buy or sell shares of the fund at any time


How can you invest in penny stocks?

Penny stocks, usually called common stocks, can be invested in for as little as $5 a share either at a brokerage firm or online. Consultation with a broker who specializes in penny stocks is recommended.


What is the function of a mutual fund?

A mutual fund is designed to bring like-minded investors together and with the help of a mutual fund manager (and this could be a single person, a team or even a computer algorithm) to direct those invested dollars. Each investor is issued shares in the fund based on the amount of money invested. The idea is to spread that invested dollar over numerous companies held by the fund in an effort to diversify. The manager(s) pick an underlying basket of stocks or bonds for example that will meet the investment goals of the shareholders.


How much money do stock investors make in a year?

The amount of money made by stock investors depends on how much they have invested and how much gain they receive from these stocks. Also how much dividends their stocks give.


What is the Difference between a mutual fund and buying a single stock?

By buying a mutual fund, we are buying a number of stocks that are bought/sold by the fund manager. Let us say you have invested Rs. 10,000/- in a XYZ mutual fund and he has stocks of the below 4 companies in a ratio A - 15% B - 30% C - 25% D - 30% Which effectively means you have bought shares of company A worth Rs. 1500, B worth Rs. 3000/- and so on. While buying stocks, you have a control on what you buy and when you buy and how much you buy but in the case of MFs you do not have this control. Whatever the fund manager buys, comes into your portfolio.

Related Questions

What did Bill Gates do for community activities?

he invested stocks


A blank is invested by managers in a diversity of stocks bonds and other securities?

A fund invested by managers in a diversity of stock, bonds, and other securities is called a mutual fund. Most mutual funds are open-ended which means that stockholders may purchase or sell shares at any given time.stockholders can buy or sell shares of the fund at any time


A is invested by managers in a diversity of stocks bonds and other securities?

it is D. mutual fund :) Jenna what skul do you go to Jenna -cierra


Can you get invested in FIFA 12?

Other teams can but I don't think you can be invested by people if your the manager


How is it determined if a stock is a top stock or not?

Top stocks are determined by how much of a change has occurred with the prices to show which stocks should be invested in. These top stocks change daily.


How can you invest in penny stocks?

Penny stocks, usually called common stocks, can be invested in for as little as $5 a share either at a brokerage firm or online. Consultation with a broker who specializes in penny stocks is recommended.


What is the mutual fund stock management?

Mutual fund stock management is the activity of buying and selling stocks as part of the money invested by customers in a fund. It is usually done by the fund manager and supervised by the asset management company


What is the function of a mutual fund?

A mutual fund is designed to bring like-minded investors together and with the help of a mutual fund manager (and this could be a single person, a team or even a computer algorithm) to direct those invested dollars. Each investor is issued shares in the fund based on the amount of money invested. The idea is to spread that invested dollar over numerous companies held by the fund in an effort to diversify. The manager(s) pick an underlying basket of stocks or bonds for example that will meet the investment goals of the shareholders.


What is the potential profit from investing in stocks and bonds?

The amount that you could earn from investing in stocks and bonds depends on the stock or bond that you have invested in. You can find out all about them on the website Investopedia.


What does it mean for stockholders when the Dow Jones Index is down?

If they do have stocks in the Dow Jones, they will lose invested money.


Who invested in stocks betting that the market would continue to climb as they could make a quick profit?

Stockbrokers


Is there a way to watch all my penny stocks simultaneously?

If you're invested in many penny stocks there is a way to keep in touch with them by getting updates at www.pennystockspayd.com/reviews.html since they always alert you on these things.