Question

What are the advantages of developing a portfolio?

What are the advantages of developing a portfolio?

Homework Answers

Answer #1

Portfolio is a combination of securities. Portfolio is made so as to reduce the risk of stock downfall or stock loss.

A mix of different securiities from different type of Industry helps in maximizing investor return and minimizing risk.

It improves chances of having high chances of getting returns. It also helps in getting consistent performance of stock as compared to investing in only one stock where chances of getting high gain or high loss are too high.

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Portfolio Valuation and Equity Analysis What are the advantages and disadvantages of engineered approaches?
Portfolio Valuation and Equity Analysis What are the advantages and disadvantages of engineered approaches?
discuss the advantages and disadvantages of openness to direct foreign and free trade between developing and...
discuss the advantages and disadvantages of openness to direct foreign and free trade between developing and developed economies.
Briefly explain and discuss the potential advantages and disadvantages of foreign direct investment (FDI) for developing...
Briefly explain and discuss the potential advantages and disadvantages of foreign direct investment (FDI) for developing countries.
What is a REIT? What are the possible advantages of having a REIT in your investment...
What is a REIT? What are the possible advantages of having a REIT in your investment portfolio?
What are the advantages and disadvantages to decentralization? What are the advantages and disadvantages of centralization?...
What are the advantages and disadvantages to decentralization? What are the advantages and disadvantages of centralization? Does one work in one environment better than the other? Please give well thought out responses
what are the advantages and disadvantages of cumene hydroproxide process? what are the advantages and disadvantages...
what are the advantages and disadvantages of cumene hydroproxide process? what are the advantages and disadvantages of Acetone-Butanol-Ethanol fermentation process (ABE fermentation)?
What are strategies for developing thinking dispositions? basically what are strategies for developing intellectual empathy and...
What are strategies for developing thinking dispositions? basically what are strategies for developing intellectual empathy and honesty?
What are 2 advantages that a nucleotide has over a nucleus, and why are they advantages.
What are 2 advantages that a nucleotide has over a nucleus, and why are they advantages.
What are the advantages of a structured ?
What are the advantages of a structured ?
What are the advantages of M&A
What are the advantages of M&A
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT