Diversification Financial Glossary

What is it? Spreading your assets among a wide variety of investments - stocks, bonds, cash or real estate, for example - thus reducing the impact of the performance of any one asset on your overall portfolio (see Common Stock, Portfolio).

Finance Term Definition Added By: Gabriel

The Diversification definition has been viewed 1879 Time(s)!

Send To Friends!

If you'd like to send the Diversification definition to yourself or to your friends/colleagues, just enter the e-mail addresses in the boxes below -

We hope you now understand the meaning of Diversification. If you need any more information on this term, please don't hesitate to contact us.

Other Similar Finance Terms:

Financial Term Fixed investments is A long-term investment where the investment is an asset that is not used directly by the companys operations.

Financial Term deferred tax asset is An asset reflecting a likely reduction in future income taxes. Accounting for deferred tax assets is governed by FAS 109.

Financial Term Adjusted Balance is An interest calculation method used by some credit card issuers in which they subtract all payments made during the month, then add the calculated finance charges.

Financial Term direct deposit is A system wherein amounts are transferred from a payors checking account to the accounts of payees no matter where they bank. The transfers are made electronically and do not require a paper check or draft. The key consideration is that the transaction is accomplished without involving the payee.

Financial Term Share Code is Each share listed on the JSE has a three letter code that is an abbreviation of the companys name. For example, the code for Anglo American Corporation is AAC.