The core concept of the Portfolio Theory is based on asset diversification and directly relies on the conventional wisdom which advice to avoid putting all eggs in one basket The foundation of modern portfolio theory (MPT) was introduced by Harry Markowitz in 1952. Thirty-eight years later, Harry Markowitz, Merton Miller and William Sharpe were awarded Nobel Prize for what has … [Read more...]
8 Mistakes Made When Designing Investment Portfolios
Do you consider yourself as an good and well informed investor ? “I see people making the same costly mistakes over and over, so i would like to shares some 8 common, yet costly, mistakes investors make when designing their investment portfolios and reveals how to avoid them. 1. OMITTING APPROPRIATE ASSET CLASSES AND ASSET SUBCLASSES. Numerous landmark studies have … [Read more...]
trading v/s investment
Many of the people are confused with between the words trading and investing. But for their information these two terms are not same. The biggest difference between them is the length of time you hold onto the assets. An investor is more interested in the long-term appreciation of his assets with huge profit.He’s not generally concerned about short-term fluctuations in … [Read more...]