|
 |
||
 |
| This dictionary contains: 24549 financial terms |
 |
Efficient diversification
|
|
Efficient diversificationThe organizing principle of portfolio theory, which maintains that any risk-averse investor will search for the highest expected return for any particular level of portfolio risk.
RELATED TERMS--------------------------------------
Portfolio
The total of an investor's different investments.
Investor
Investor is a top Swedish corporation in the field of diversified financials, and its estimated market value is 10,680 million US dollars.
Will
The written expression of a person's wishes as to how his property should be distributed by his executors.
Return
The change in the value of a portfolio over an evaluation period, including any distributions made from the portfolio during that period.
Level
Used in the context of general equities. Price measure of an indication.
Risk
The possibility of loss; the amount that one may lose when investing.
SIMILAR TERMS--------------------------------------
Efficiency
The degree and speed with which a market accurately incorporates information into prices.
Efficient Asset A. Inv., S.A., SICAV
Efficient Asset A. Inv., S.A., SICAV is a Spanish company listed at Madrid Stock Exchange. Its business activity is capital investment.
Efficient capital market
A market in which new information is very quickly reflected accurately in share prices.
Efficient frontier
The combinations of securities portfolios that maximize expected return for any level of expected risk, or that minimizes expected risk for any level of expected return. Pioneered by Harry Markowitz.
Efficient market
Market in which prices correctly reflect all relevant information.
Efficient Market Hypothesis
States that all relevant information is fully and immediately reflected in a security's market price, thereby assuming that an investor will obtain an equilibrium rate of return.
Efficient Markets Theory (EMT)
Principle that all assets are correctly priced by the market, and that there are no bargains.
Efficient portfolio
A portfolio that provides the greatest expected return for a given level of risk or, equivalently, the lowest risk for a given expected return.
Efficient set
Graph representing a set of portfolios that maximize expected return at each level of portfolio risk.
Efficient surface
The set of portfolios that result from investor's preference for higher means, lower variance and higher (positive) skewness. The efficient surface is analogous (in three dimensions, mean, variance and skewness) to the efficient frontier (in two dimensions, mean and variance).
PREVIOUS AND NEXT TERMS--------------------------------------
Effective spread
The gross underwriting spread adjusted for the impact that a common stock offering's announcement has on the firm's share price.
Effective tax rate
The net rate a taxpayer pays on income that includes all forms of taxes. It is calculated by dividing the total tax paid by taxable income.
Effective yield
Yield or return on a short-term investment after adjustment for the change in exchange rates over the period of concern.
Efficiency
The degree and speed with which a market accurately incorporates information into prices.
Efficient capital market
A market in which new information is very quickly reflected accurately in share prices.
Efficient diversification
Efficient frontier
The combinations of securities portfolios that maximize expected return for any level of expected risk, or that minimizes expected risk for any level of expected return. Pioneered by Harry Markowitz.
Efficient market
Market in which prices correctly reflect all relevant information.
Efficient Market Hypothesis
States that all relevant information is fully and immediately reflected in a security's market price, thereby assuming that an investor will obtain an equilibrium rate of return.
Efficient Markets Theory (EMT)
Principle that all assets are correctly priced by the market, and that there are no bargains.
Efficient portfolio
A portfolio that provides the greatest expected return for a given level of risk or, equivalently, the lowest risk for a given expected return.
RELATED TERMS--------------------------------------
Portfolio
The total of an investor's different investments.
Investor
Investor is a top Swedish corporation in the field of diversified financials, and its estimated market value is 10,680 million US dollars.
Will
The written expression of a person's wishes as to how his property should be distributed by his executors.
Return
The change in the value of a portfolio over an evaluation period, including any distributions made from the portfolio during that period.
Level
Used in the context of general equities. Price measure of an indication.
Risk
The possibility of loss; the amount that one may lose when investing.
SIMILAR TERMS--------------------------------------
Efficiency
The degree and speed with which a market accurately incorporates information into prices.
Efficient Asset A. Inv., S.A., SICAV
Efficient Asset A. Inv., S.A., SICAV is a Spanish company listed at Madrid Stock Exchange. Its business activity is capital investment.
Efficient capital market
A market in which new information is very quickly reflected accurately in share prices.
Efficient frontier
The combinations of securities portfolios that maximize expected return for any level of expected risk, or that minimizes expected risk for any level of expected return. Pioneered by Harry Markowitz.
Efficient market
Market in which prices correctly reflect all relevant information.
Efficient Market Hypothesis
States that all relevant information is fully and immediately reflected in a security's market price, thereby assuming that an investor will obtain an equilibrium rate of return.
Efficient Markets Theory (EMT)
Principle that all assets are correctly priced by the market, and that there are no bargains.
Efficient portfolio
A portfolio that provides the greatest expected return for a given level of risk or, equivalently, the lowest risk for a given expected return.
Efficient set
Graph representing a set of portfolios that maximize expected return at each level of portfolio risk.
Efficient surface
The set of portfolios that result from investor's preference for higher means, lower variance and higher (positive) skewness. The efficient surface is analogous (in three dimensions, mean, variance and skewness) to the efficient frontier (in two dimensions, mean and variance).
PREVIOUS AND NEXT TERMS--------------------------------------
Effective spread
The gross underwriting spread adjusted for the impact that a common stock offering's announcement has on the firm's share price.
Effective tax rate
The net rate a taxpayer pays on income that includes all forms of taxes. It is calculated by dividing the total tax paid by taxable income.
Effective yield
Yield or return on a short-term investment after adjustment for the change in exchange rates over the period of concern.
Efficiency
The degree and speed with which a market accurately incorporates information into prices.
Efficient capital market
A market in which new information is very quickly reflected accurately in share prices.
Efficient diversification
Efficient frontier
The combinations of securities portfolios that maximize expected return for any level of expected risk, or that minimizes expected risk for any level of expected return. Pioneered by Harry Markowitz.
Efficient market
Market in which prices correctly reflect all relevant information.
Efficient Market Hypothesis
States that all relevant information is fully and immediately reflected in a security's market price, thereby assuming that an investor will obtain an equilibrium rate of return.
Efficient Markets Theory (EMT)
Principle that all assets are correctly priced by the market, and that there are no bargains.
Efficient portfolio
A portfolio that provides the greatest expected return for a given level of risk or, equivalently, the lowest risk for a given expected return.
We thank you for using the Financial Dictionary to search for Efficient diversification. If you have a better definition for Efficient diversification than the one presented here, please let us know by making use of the suggest a term option. This definition of Efficient diversification may be disputed by other professionals. Our attempt is to provide easy definitions on Efficient diversification and any other medical topic for the public at large.
This dictionary contains 24549 terms.
|
|