||Apportioning a portfolio's assets according to risk tolerance and investment goals.
||Anything having commercial or exchange value that is owned by a business, institution or individual.
||Refers to the financial assets, or resources, that a company has to fund its business operations.
||The practice of investing in a variety of assets. This is a risk management technique where, in a well-diversified portfolio, any loss from an individual holding should be offset by gains in other holdings, thereby lessening the impact on the overall portfolio.
||The rate of increase in the cost of living. Inflation is usually quoted as an annual percentage, comparing the average price this month with the same month a year earlier.
||A company is considered highly liquid if it has plenty of cash at its disposal. A company's shares are considered highly liquid if they can be easily bought or sold since large amounts are regularly traded.
||The chance that an investment's return will be different to what is expected. Risk includes the possibility of losing some or all of the original investment.
||The term used to describe the activities the fund manager undertakes to limit the risk of a loss in a fund.
||The degree to which a given security, fund, or index rapidly changes. It is calculated as the degree of deviation from the norm for that type of investment over a given time period. The higher the volatility, the riskier the security tends to be.