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Portfolio Management:
Portfolio Management refers to the science and analysis of various strengths provides with decision of selection between Debt Vs Equity, Growth Vs Safety etc.
Major tasks involved in Portfolio Management are:
There are basically two types of portfolio management -
1. Passive management which involves tracking of the market index or index investing on a regular basis by a person.
2. Active management which involves active management by manager or team of managers who take investment decisions on the basis of research.
The basic idea of Investment Portfolio Management is applied to other industrial sectors as well:
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The statement of cash flows is a fairly current addition to the annual published financial statements. Companies were only needed to publish a statement of financial position (balance sheet) and an income statement.
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