Passive portfolio strategy

A strategy that involves minimal expectational input, and instead relies on diversification to match the performance of some market index. A passive strategy assumes that the marketplace will reflect all available information in the price paid for securities, and therefore, does not attempt to find mispriced securities. Related: active portfolio strategy

Financial and business terms. 2012.

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  • passive portfolio strategy — A strategy that involves minimal expectational input, and instead relies on diversification to match the performance of some market index. A passive strategy assumes that the marketplace will reflect all available information in the price paid… …   Financial and business terms

  • passive portfolio strategy — Fin the managing of an investment portfolio by relying on automatic adjustments or tracking an index …   The ultimate business dictionary

  • Active portfolio strategy — A strategy that uses available information and forecasting techniques to seek a better performance than a portfolio that is simply diversified broadly. Related: passive portfolio strategy Actuals The physical commodity underlying a futures… …   Financial and business terms

  • active portfolio strategy — A strategy that uses available information and forecasting techniques to seek better performance than a buy and hold portfolio. Related: passive portfolio strategy. Bloomberg Financial Dictionary …   Financial and business terms

  • Passive management — (also called passive investing) is a financial strategy in which a fund manager makes as few portfolio decisions as possible, in order to minimize transaction costs, including the incidence of capital gains tax. One popular method is to mimic the …   Wikipedia

  • Passive income — is a rent received on a regular basis, with little effort required to maintain it. It is advocated by some authors, especially by Robert Kiyosaki.Some examples of passive income are: * Repeated regular income, earned by a sales person, generated… …   Wikipedia

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  • Portfolio Manager — The person or persons responsible for investing a mutual, exchange traded or closed end fund s assets, implementing its investment strategy and managing the day to day portfolio trading. The portfolio manager is one of the most important factors… …   Investment dictionary

  • passive management — See: indexing Management strategy to buy a well diversified portfolio to represent a broad based market index without attempting to search out mispriced securities Fund managers do not attempt to beat the market. Instead, they try to mirror the… …   Financial and business terms

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