Portfolio Management
Investing in financial securities such as shares, debentures and bonds is considered one of the best avenues for investing. These investments are profitable as well as exciting. Investing in such instruments involves both rational as well as emotional responses. It is indeed rewarding but at the same time involves a great deal of risk. It is very often (and not even suggested) to find investors putting their entire savings in a single security. Instead, it is always better to invest in a diversified pool of securities. Such a pool of securities is called a portfolio. Creation of a portfolio helps to reduce risk without sacrificing the returns. An optimal portfolio is one which minimizes the risk and provides a higher return. Therefore, this makes portfolio management a very important aspect of your investments. What is Portfolio Management? Portfolio management means strategically managing an investment portfolio, by selecting the best investment mix the right proportions and