What is Financial Portfolio “DI-WORSIFICATION”

Versus Di-Versification

BUSINESS MANAGEMENT: The term “diworsification” was coined by legendary investor Peter Lynch in his book, One up on Wall Street, to describe the over-expansion of a company into new growth projects and businesses they do not fully understand and which do not align with the company’s core competencies.

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PORTFOLIO MANAGEMENT: The term diworsification has since grown to also refer to over-diversifying an investment portfolio in such a way that it reduces the overall risk-return characteristics.

ORDER CITATION: https://www.r2library.com/Resource/Title/0826102549

INVESTOPEDIA: https://www.investopedia.com/terms/d/diworsification.asp

READ: https://medicalexecutivepost.com/2014/11/12/the-negative-short-term-implications-of-diversification/

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