which of the following are characteristics of an effective portfolio strategy course hero

What is reallocation of assets in a portfolio called?

What is an investment plan?

What is annual stockholders report?

Is financial ratio included in annual stockholders report?

Do asset allocation plans have to be made again?

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What is reallocation of assets in a portfolio called?

Reallocation of the assets in a portfolio is called rebalancing.

What is an investment plan?

When completed, an investment plan is a way of translating an abstract investment target into a specific investment program.

What is annual stockholders report?

A corporation's annual stockholders' report provides financial data and other information related to both past and planned activities.

Is financial ratio included in annual stockholders report?

Financial ratios of a company are included in its annual stockholders' report.

Do asset allocation plans have to be made again?

Once an asset allocation plan is developed and securities are selected, these decisions do not have to be made again.

Saturday, January 3, 2015

It is continuous and ongoing, providing both formative (i.e., ongoing) and summative (i.e., culminating) opportunities for monitoring students' progress toward achieving essential outcomes.

The Characteristics of an Effective Portfolio

It is continuous and ongoing, providing both formative (i.e., ongoing) and summative (i.e., culminating) opportunities for monitoring students' progress toward achieving essential outcomes.

What is a Good Investment Portfolio

Building an investment portfolio seems to be a highly challenging task. And ensuring it creates wealth for you to lead a comfortable life is cumbersome. A portfolio investment involves effective asset allocatio n. It involves diversifying funds to various assets, including stocks, mutual funds, bonds, and exchange-traded funds.

Characteristics of a Good Portfolio

Diversification in investing is considered the simplest approach for designing a good stock portfolio. It aims at investing in different asset classes having unrelated returns. So, to create a compelling and well-diversified portfolio, it is essential to consider the underlying risk involved in an asset.

2. Long Term Viability

The investment strategies should have a long-term outlook, ensuring the growth in investment with time. You must avoid stocks that don’t intend to grow in ten years from now. The wealth from investment is created by staying invested over a long period.

3. Liquidity

Though it is good to remain invested in the long run, you should not be stuck when there is some emergency. Thus, divide your investment into liquid as well as illiquid funds. The illiquid funds may offer less volatility and stable returns. While liquid funds will allow you to make sound investments choices.

4. Strong Financials

Some stocks have a higher value than others because of their financial aspects. As an investor, it is essential to scan its financial information to differentiate between good and bad investments. Some critical financial factors to consider are presented in the table below:

5. Cost-Efficiency

The benefits generated by an investment portfolio must outweigh the expenses incurred in managing it. Managing the investment includes advisory & custodian fees, transactions costs, and others. You need to consider all costs, after-tax, and inflation implications to determine if your portfolio is cost-efficient.

Conclusion

Proper evaluation and recalibration can turn a poor investment into a profitable one. Of course, you may not consistently achieve an above-market return, but a good investment portfolio will ensure the growth of your investment portfolio over time.

What is reallocation of assets in a portfolio called?

Reallocation of the assets in a portfolio is called rebalancing.

What is an investment plan?

When completed, an investment plan is a way of translating an abstract investment target into a specific investment program.

What is annual stockholders report?

A corporation's annual stockholders' report provides financial data and other information related to both past and planned activities.

Is financial ratio included in annual stockholders report?

Financial ratios of a company are included in its annual stockholders' report.

Do asset allocation plans have to be made again?

Once an asset allocation plan is developed and securities are selected, these decisions do not have to be made again.