Portfolio Management Assignment Help

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Types of Portfolio Management

Active Portfolio Management

This type deals with the purchasing and trading of securities to get a maximum profit. It guarantees higher gains in comparison with what the market hints. Portfolio managers purchase undervalued stocks and trade them once their prices begin to rise above the norm.

Passive Portfolio Management

It deals with adhering to a fixed portfolio that matches the current market trends. Portfolio managers choose to play with passively managed funds with less gross revenue and long-term value.

Discretionary Portfolio Management

This type gives the manager complete freedom to decide about selling and trading in the place of the investor. They use the ideal and appropriate tactic after looking at exclusive objectives and timelines. Once they have paid the expert, the investor relaxes because he now has a guarantee of gains.

Non-Discretionary Portfolio Management

In this type, the manager works as a financial advisor. They counsel the investor about the best strategies they should follow.

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