Efficient Diversification

Business / Finance / Efficient Diversification: A market in which new information is very quickly reflected accurately in share prices.

Other Words for Efficient

Efficient Noun Synonyms: unwasteful, economic, thrifty, effective, efficacious, effectual, competent, productive, proficient, operative
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Magic Of Diversification

Business / Finance / Magic Of Diversification: The effective reduction of risk (variance) of a portfolio, achieved without reduction to expected returns through the combination of assets with low or negative correlations (covariances). Related: Ma MORE

Markowitz Diversification

Business / Finance / Markowitz Diversification: A strategy that seeks to combine in a portfolio assets with returns that are less than perfectly positively correlated, in an effort to lower portfolio risk (variance) without sacrificing return. Rela MORE

Markowitz Efficient Frontier

Business / Finance / Markowitz Efficient Frontier: The graphical depiction of the Markowitz efficient set of portfolios representing the boundary of the set of feasible portfolios that have the maximum return for a given level of risk. Any portfolios MORE

Liquidity Diversification

Business / Finance / Liquidity Diversification: Investing in a variety of maturities to reduce the price risk to which holding long bonds exposes the investor. MORE

International Diversification

Business / Finance / International Diversification: The attempt to reduce risk by investing in more than one nation. By diversifying across nations whose economic cycles are not perfectly correlated, investors can typically reduce the variability of th MORE

Inefficient Market

Business / Taxes / Inefficient Market: In an inefficient market, investors may not have enough information about the securities in that market to make informed decisions about what to buy or the price to pay. Markets in emerging nations ma MORE

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