Diversified Fund

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 ?
* Turner Medical Sciences Long/Short Fund, managed by Vijay Shankaran, is a diversified fund of long and short investments in health-care companies of all market capitalisations.
In the new role based in London, Hartwig Kos will take over management of the OYSTER Multi-Asset Diversified fund as lead manager.
Concept allows institutional investors to invest in wind farms and gain exposure to photovoltaic plants via a broadly diversified fund
The LGIM Diversified Fund typically holds between 20% and 50% of its assets in bonds.
The rating reflects the company's experienced management, structured investment decision making process and diversified fund slate.
These clarifications will help investment managers and investors better understand where a diversified fund, rather than single asset, can be used to participate in Opportunity Zone investments."
Barclays has today announced the development of its Ready-made Investments, an efficient and cost-effective way to acquire a diversified fund investment, benefiting from the best of Barclays investing expertise.
David Kirkby, Valad Europe's chief investment officer, added: "Five Ways Leisure Park provides even greater diversification to the Valad European Diversified Fund's portfolio of assets.
Daley, executive vice president of Richman, "Fund 89 was a nationally diversified fund while Fund 95's targeted acquisitions were limited to New York City.
The new fund, ESPA Alternative Diversified Fund, would be launched with EUR50m as proprietary capital.
Independent diversified real estate investment manager Valad Europe has acquired the four assets in Germany on behalf of its Valad European Diversified Fund (VEDF).
TDAM manages retail mutual fund assets on behalf of more than 1.9m investors and offers one of the most broadly diversified fund families in Canada.

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