Diversified investment company

Diversified investment company

An investment vehicle such as a mutual fund that invests in an assortment of securities.

Diversified Fund

A fund that has invested in many different types of securities in order to hedge against the securities already in the fund. Ideally, this reduces the risk inherent in any one investment, and increases the possibility of making a profit, or at least avoiding a loss. This may also reduce the expected return on the fund, but it depends on the level and type of diversification. There are two main types of diversification that a fund may utilize. Horizontal diversification involves investing in similar investments. Examples include investing in several technology companies or in different types of bonds. Vertical diversification involves investing in very different securities; for example, one may choose to invest in securities traded in different countries, or in both winter clothing and swimsuit companies. Both types of diversification may be as broad or as narrow as the fund's manager chooses. In general, broader diversification equates to less risk and less return.
References in periodicals archive ?
is a closed-end diversified investment company whose shares of Common Stock (RMT) are listed and traded on the New York Stock Exchange.
Morningside, founded in 1986, is a diversified investment company with portfolio investments in private equity and technology ventures.
Abu Dhabi: Waha Capital PJSC, a diversified investment company based in Abu Dhabi, reported on Monday a net profit of Dh27.
Summary: ABU DHABI - Waha Capital, a diversified investment company based in Abu Dhabi, on Monday reported a net profit of Dh27.
The nephew of King abdullah of Saudi arabia, the 57-year-old is the chairman and founder of Kingdom Holding Company, a diversified investment company.
Waha Land, a wholly owned subsidiary of Abu Dhabi-listed diversified investment company Waha Capital, expects the facilities to be of interest to manufacturers and logistics firms seeking professionally managed, high quality and competitively priced space.
RIYADH: Kingdom Holding, a diversified investment company controlled by Saudi Prince Alwaleed bin Talal, said fourth-quarter profit declined 20 per cent on 'a decrease in performance' from operations in the Middle East.
19 December 2011 - Saudi-based diversified investment company Kingdom Holding (SAU:4280), owned by Saudi billionaire Prince Alwaleed Bin Talal, has bought a stake in Twitter for SAR1.
The Sharjah-based LCC signed a joint venture agreement with the Tantash Group, a Jordan-based diversified investment company active in the travel sector, last June to launch the base.
Until recently he was the Chief Financial Officer of Dubai Group, a diversified investment company.
Sheikh Maktoum bin Hasher Al Maktoum is chairman of Dubai International Holding Company, a diversified investment company.
The diversified investment Company today also reported that its consolidated net profit for the financial year 2010 jumped to Indonesian Rupiah 125.
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