Well-diversified portfolio

Well-diversified portfolio

A portfolio that includes a variety of securities so that the weight of any security is small. The risk of a well-diversified portfolio closely approximates the systematic risk of the overall market, and the unsystematic risk of each security has been diversified out of the portfolio.

Well-Diversified Portfolio

A portfolio that has invested in many different types of security in order to hedge against the securities already in the portfolio. 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 level and type of diversification. There are two main types of diversification that a well-diversified portfolio may utilize. Horizontal diversification involves investing in similar types of 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 narrow as the fund's manager chooses. In general, the broader the diversification, the less risk and less return.
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The company owns a large, well-diversified portfolio that consists of investments in over 1,900 property locations in 48 states in the US.
Both acquired properties are great additions to the Partnership's look-through timberland portfolio and represent the start of a well-diversified portfolio of timberland for Fund IV.
Al Rajhi REIT Fund leverages Al Rajhi Capital's extensive experience in real estate sector and comprises of a well-diversified portfolio of 13 real estate properties spread across multiple four strategic sectors and locations in the Kingdom.
Having a well-diversified portfolio will work to hedge against market volatility, lessening the impact of inevitable corrections.
The Fund seeks to provide relatively high yields and stability of capital by investing primarily in a well-diversified portfolio of short-term fixed income securities issued by Canadian governments and corporations, and first mortgages on property located in Canada.
Investing across geographical regions is one of the fundamentals of a well-diversified portfolio - and those with a well-diversified portfolio are best-placed to mitigate risk in times of market turbulence and best-placed to take advantage of the opportunities.
Together, AdFalcon and Rubicon Project will be offering a well-diversified portfolio of advertising inventory for mobile, guaranteeing the best ROI for media agencies, advertisers and publishers alike.
Investing across geographical regions is one of the cornerstones of a well-diversified portfolio.
The automaker said, 'We have always considered that a well-diversified portfolio of funding tools gives us the necessary flexibility to offer appropriate and competitive financing options for our customers as well as our industrial investment needs.
That means developing a well-diversified portfolio which accurately reflects your strategy, constantly monitoring it in an objective way, and re-balancing when appropriate to stay in line with your goals.
S&P notes that its rationale for the TCP ratings reflects the company's conservative leverage, focus largely on senior secured investments, and well-diversified portfolio.
The company has a well-diversified portfolio of assets with the lowest NPA (non-performing asset) ratio of 1.