Portfolio & Performance terms

Investment approach where a manager selects assets to try to outperform a benchmark.

Return above or below what would be expected relative to a benchmark or risk model.

Dividing capital among asset classes such as stocks, bonds, cash and commodities.

Group of investments with similar characteristics, risk drivers and market behavior.

Standard index or reference used to compare performance.

Measure of an asset's movement relative to a benchmark market.

Price or result where profit equals loss after costs.

Process where returns generate additional returns because gains are reinvested.

Holding different assets or exposures to reduce reliance on one risk source.

Investing a fixed amount at regular intervals regardless of market price.