Portfolio

A portfolio is the full collection of investments an individual or fund owns, which can include stocks, bonds, funds, cash, and other assets. How a portfolio is put together, which assets it holds and in what proportions, drives most of an investor's long-term risk and return.

A well-constructed portfolio is usually built around a specific goal and time horizon rather than being a random collection of stocks someone liked. Two investors can each own good individual investments and still end up with very different outcomes depending on how those pieces fit together as a portfolio.