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A portfolio is a collection of all your financial investments, like stocks, bonds, and mutual funds.
In Depth
This can include various assets like stocks, bonds, mutual funds, and real estate. The goal of a portfolio is typically to grow wealth over time while managing risk. A well-diversified portfolio spreads investments across different asset types to reduce the impact of any single investment performing poorly. Investors often adjust their portfolio based on their financial goals, risk tolerance, and time horizon.
Example
Sarah's investment portfolio includes a mix of tech stocks, government bonds, and a real estate investment trust.
