Investments. Portfolio income and risk (most important)

Lecture notes, cheat sheets
Free library / Directory / Lecture notes, cheat sheets

Investments. Portfolio income and risk (most important)

Lecture notes, cheat sheets

Table of contents (expand)

INCOME AND RISK BY PORTFOLIO

Securities portfolio - a set of securities owned by an investor and managed as a whole to achieve a specific goal. The meaning of the formation of a portfolio of securities is to improve the investment conditions, giving the aggregate of securities such investment qualities that are unattainable from the standpoint of a single security and are possible only with their combination.

When forming a portfolio, an investor must have a selection mechanism for inclusion in the portfolio of certain types of securities and be able to evaluate their investment qualities through the methods of fundamental and technical analysis.

Forming a portfolio and subsequently changing its composition and structure, an investor can use a new investment quality with a given risk / income ratio.

The task of the methods is to find, among the multitude of securities, their totality, in which, investing investment funds, they will not be exposed to high risk. There is a relationship between risk and return on investment: the higher the return, the higher the risk.

According to the degree of risk, investments in the money supply are less risky (risk-free). But these investments are less profitable.

Government securities are next in terms of risk, followed by bank and corporate bonds and stocks.

Among the many banking and corporate stocks, many types of securities can be distinguished according to the degree of risk: from low-risk with low income to high-risk with high income. Shares of banks and corporations are attractive to investors, because they will ensure the growth of income from invested funds, from dividend payments and due to the growth of their market value.

Depending on the riskiness and profitability, aggressive and defensive stocks are distinguished. Aggressive stocks - stocks of developing enterprises pursuing a risky policy. Their cost at the rate can increase several times. Investing in these securities is justified when an investor wants to get a high income in a short time and takes risks for this. Defensive shares include banking and corporate shares of issuers that have established themselves in the stock market, are distinguished by stability, the ability to withstand adverse economic conditions, and whose activities have a fairly long history. Such stocks have a steady rate and regular payment of dividends, therefore they are attractive to investors seeking small but reliable income.

Investments made by investors in securities of different types, different duration and different liquidity, as a whole form a portfolio of securities.

Author: Kuznetsova S.A.

<< Back: The concept of a portfolio of securities

>> Forward: Types of securities portfolios

We recommend interesting articles Section Lecture notes, cheat sheets:

▪ Marketing. Lecture notes

▪ Theory and methodology of education. Crib

▪ Civil procedural law. Crib

See other articles Section Lecture notes, cheat sheets.

Read and write useful comments on this article.

<< Back

Latest news of science and technology, new electronics:

The existence of an entropy rule for quantum entanglement has been proven 09.05.2024

Quantum mechanics continues to amaze us with its mysterious phenomena and unexpected discoveries. Recently, Bartosz Regula from the RIKEN Center for Quantum Computing and Ludovico Lamy from the University of Amsterdam presented a new discovery that concerns quantum entanglement and its relation to entropy. Quantum entanglement plays an important role in modern quantum information science and technology. However, the complexity of its structure makes understanding and managing it challenging. Regulus and Lamy's discovery shows that quantum entanglement follows an entropy rule similar to that for classical systems. This discovery opens new perspectives in the field of quantum information science and technology, deepening our understanding of quantum entanglement and its connection to thermodynamics. The results of the study indicate the possibility of reversibility of entanglement transformations, which could greatly simplify their use in various quantum technologies. Opening a new rule ... >>

Mini air conditioner Sony Reon Pocket 5 09.05.2024

Summer is a time for relaxation and travel, but often the heat can turn this time into an unbearable torment. Meet a new product from Sony - the Reon Pocket 5 mini-air conditioner, which promises to make summer more comfortable for its users. Sony has introduced a unique device - the Reon Pocket 5 mini-conditioner, which provides body cooling on hot days. With it, users can enjoy coolness anytime, anywhere by simply wearing it around their neck. This mini air conditioner is equipped with automatic adjustment of operating modes, as well as temperature and humidity sensors. Thanks to innovative technologies, Reon Pocket 5 adjusts its operation depending on the user's activity and environmental conditions. Users can easily adjust the temperature using a dedicated mobile app connected via Bluetooth. Additionally, specially designed T-shirts and shorts are available for convenience, to which a mini air conditioner can be attached. The device can oh ... >>

Energy from space for Starship 08.05.2024

Producing solar energy in space is becoming more feasible with the advent of new technologies and the development of space programs. The head of the startup Virtus Solis shared his vision of using SpaceX's Starship to create orbital power plants capable of powering the Earth. Startup Virtus Solis has unveiled an ambitious project to create orbital power plants using SpaceX's Starship. This idea could significantly change the field of solar energy production, making it more accessible and cheaper. The core of the startup's plan is to reduce the cost of launching satellites into space using Starship. This technological breakthrough is expected to make solar energy production in space more competitive with traditional energy sources. Virtual Solis plans to build large photovoltaic panels in orbit, using Starship to deliver the necessary equipment. However, one of the key challenges ... >>

Random news from the Archive

External graphics cards for Thunderbolt 3 laptops 07.09.2015

Laptops are increasingly replacing desktops. But, despite the many advantages, mobile computers have a lot of disadvantages. The main one is weak modernization opportunities. In particular, it is simply impossible to replace the video card in most devices.

At one time, manufacturers came up with the idea to launch the production of external graphics cards that could be connected to laptops. Such solutions used either proprietary connectors or an ExpressCard port. True, the bandwidth of the latter is quite limited, which did not allow the use of flagship adapters. However, the ExpressCard has been supplanted by the USB 3.0 interface. But he left along with external video cards. The possibilities of USB 3.0 were still not enough to use productive 3D cards (the possibilities of which only grow with time), and mobile accelerators also gained strength.

Intel, together with Inventec, decided to revive the segment of external graphics solutions for laptops using the Thunderbolt 3 interface, whose throughput, we recall, reaches 40 Gb / s. This is about three times less than PCI Express 3.0 x16 is able to offer, but for most video cards it is quite enough. In addition, a USB Type-C connector is used, which allows you to transfer up to 100 W of power, which is enough, for example, for a GeForce GTX 950 video card (nobody has canceled external power supplies either).

So, Intel and Inventec at the IDF 2015 forum demonstrated two products at once: a ready-made graphics docking station, as well as a special case that can accept a regular discrete graphics card.

The docking station is based on the Radeon R9 M385 mobile graphics card, which is based on the Saturn GPU (aka Bonaire, aka Tobago) with 896 stream processors. The device is additionally equipped with three USB 3.0 connectors, a pair of HDMI ports, a pair of DisplayPort, an audio jack, an Ethernet port, and, in fact, a Thunderbolt 3 interface with a USB Type-C port.

As for the case, it is equipped with its own power supply and fans. For the demonstration, Intel used the Radeon R9 270X adapter, but no one bothers to use a more powerful solution. The main thing is that there is enough power of the PSU and free space in the case.

Other interesting news:

▪ Amazon Kindle e-book

▪ Beats Electronics Powerbeats2 Wireless Headset

▪ Teenagers don't listen to their parents

▪ The microcircuit is cooled by a fan

▪ dog cell phone

News feed of science and technology, new electronics

Interesting materials of the Free Technical Library:

▪ section of the site Note to the student. Article selection

▪ article by Agatha Christie. Famous aphorisms

▪ article What is the largest musical instrument? Detailed answer

▪ article Technician of the computing (information-computing) center. Job description

▪ article Recommendations for the assembly and operation of elements and modules of solar panels. Encyclopedia of radio electronics and electrical engineering

▪ article Orb-horoscope. Focus secret

Leave your comment on this article:

All languages of this page

Home page | Library | Articles | Website map | Site Reviews