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| Asset |
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| Anything of value owned or is owed to it by a business, institution, or individual. Assets may include stocks, cash, investments, accounts receivable, product inventory, real estate and other current assets. Patents and goodwill are called intangible assets. |
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| Asset Allocation |
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| The specific distribution of funds among a number of different asset classes within an investment portfolio, such as cash equivalents, stock, fixed-income investments and such tangible assets as real estate, precious metals and collectibles. Also applies to subcategories such as government, municipal and corporate bonds, and industry groupings of common stocks.
Each of asset classes has unique types of expected risk and return.
Asset allocation involves determining what percentage of funds will be invested in each asset. Determining how to allocate funds depends on the individual investor. The investor's goals, time frame, and risk tolerance will all affect how an investor wishes to allocate funds based on the investor's desired return and acceptable risk. |
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| Asset Allocation Mutual Fund |
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| A mutual fund that rotates among stocks, bonds, and money market securities to maximize return on investment and minimize risk. |
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| Asset Management |
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| The management of the financial assets of a company in order to maximize return. An account at a financial institution that includes checking services, credit cards, debit cards, margin loans, the automatic sweep of cash balances into a money market fund, as well as brokerage services. Also known as an 'asset management account' or a 'central asset account'. |
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| Assets |
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| Fixed assets are land, machines and buildings; current assets consist of cash, money owed, stock, investments and work in progress; intangible assets are goodwill, trade marks, patents, etc; liquid assets are funds kept in cash or in a form that can be quickly and easily turned into cash. |
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