A portfolio is a collection of financial investments like stocks, bonds, commodities, cash, and cash equivalents, including closed-end funds and exchange traded funds (ETFs). Portfolios are held directly by investors and/or managed by financial professionals. The primary purpose of a portfolio is to invest in a diversified mix of assets to manage risk while aiming to grow capital. Proper portfolio management seeks to achieve an optimal balance between risk tolerance and investment objectives.
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About the author
Jenna Lofton, MBA is a stock trading and investment expert with over a decade of experience in the financial industry. She began her career as a financial advisor on Wall Street and now helps everyday investors make smarter financial decisions through StockHitter.com.
Her insights simplify complex financial topics into actionable strategies for beginners and seasoned traders alike.