An Efficient Portfolio of investments represents a combination that maximizes the expected return for a given level of risk or minimizes the level of risk for a given expected return.
Modern Portfolio Theory (MPT) is an investment strategy aimed at balancing risk and return by systematically constructing diversified portfolios. This involves including both risky and risk-free securities that exhibit some degree of counteracting performance.
Discover comprehensive accounting definitions and practical insights. Empowering students and professionals with clear and concise explanations for a better understanding of financial terms.