Market Structure

Understanding portfolio investment returns involves measuring how assets grow over time, accounting for cash flows, dividends, fees, and timing. Clear return calculations help investors evaluate performance, risk, and long-term effectiveness.

Sector analysis explains how investments are distributed across industries, helping investors understand portfolio exposure, diversification, and risk concentration using standardized classifications like GICS.

Diversification is a foundational investment principle that reduces portfolio risk by spreading exposure across assets, sectors, regions, and time horizons. It helps stabilize returns and manage uncertainty without eliminating market risk.

Mutual funds offer a structured way to invest in markets through diversification and professional management. This article explains how mutual funds work, their advantages and limitations, and why some investors prefer them over selecting individual stocks.

ETFs and mutual funds both provide diversified exposure to stocks, bonds, and other assets. This article explains how each structure works, how they differ in cost, liquidity, and taxes, and how they fit into portfolio construction.

Stocks and exchange-traded funds (ETFs) offer different ways to gain exposure to industries and markets. This article explains how stocks and ETFs work, compares their strengths and limitations, and clarifies when each approach may be more suitable.

Income, value, and growth stocks represent three common ways companies deliver returns to investors. This article explains how each category works, their defining characteristics, and how they fit into portfolio construction.