Bsevarsity Blog — Passive portfolio management
What Is Portfolio Management? What Are the Benefits?
Posted by swapnil waikar on
In corporate level, Portfolio Management is defined as a process for the successful delivery of the portfolio of an organization. A portfolio includes entire projects and investment programs. It is a helpful tool to determine opportunities, strengths, weaknesses, and threats to maximize the returns and minimize the risk. It follows a simple principle of maximizing returns within a specific time frame. Why is Portfolio Management important? Portfolio management is important because it is one of the best ways to identify and select the best investment strategy. It is purely based on an individual's income, age, risk-taking capacity, and investment budget. The portfolio management tool is designed in such a way that it is customized as per the preference and needs of an investor. It analyses the needs and budget of the investor and suggests the best policy for them. Types of Portfolio Management - 1. Active portfolio management Active management is defined as a process that...