glossary Page 2 of 4
1. The study of the nature, causes, or principles of reality, knowledge, or values, based on logical reasoning. 2. A system of thought based on or involving such study. 3. The study of the theoretical underpinnings of a particular field or discipline: the philosophy of history. 4. An underlying theory or set of ideas relating to a particular field of activity or to life as a whole.
A detailed schedule, program, system, or method worked out for the attainment of an objective. 2. A proposed project. 3. A systematic arrangement of details; an outline or sketch. The plan is what you have to do to attain the vision and dream. It includes what your products are, what you need to keep score of to observe whether you are winning or losing, what roles you will have to play, and what knowledge and skills are vital to succeeding.
A collection of investments held by an investment company, hedge fund, financial institution or individual. The more diversified the investments in a portfolio, the more likely the investor is to earn the same return as the market. Can be represented as a pie that is divided into pieces of varying sizes, representing a variety of asset classes and types of investments designed to achieve the ideal risk-return asset allocation.
An asset class consisting of equity securities and debt, which is invested in an operating company that is not publicly traded on a stock exchange. A private equity investment is typically made by a firm that specializes in private equity, venture capitalist or an angel investor. Each investor category has different goals, preferences and investment strategies; however, all provide working capital to nurture expansion, new product development, or restructuring of the company’s operations, management, or ownership.