Bus 405 week 5, final project: portfolio and investment strategy
My choice organization is a venture capital investment firm that specializes in private equity. In this regard, its investment strategy focuses on identifying up & coming companies with potential for high growth & value creation over medium to long-term periods. Such entities are typically characterized by their innovative technologies/products as well as experienced management teams which allows the firm to assess possible risks associated with each one before committing any funds.
Although they tend to be more interested in high-reward opportunities, their risk appetite is not as strong as it used to be. They will consider lower returns that still have certain characteristics such as sustainability and scalability, to make sure they get maximum future returns. Additionally, the team is willing to invest in any industry that might be too risky or volatile for investors provided sufficient diligence has been done before.
An effective strategy will allow my entity to better manage its investment portfolio and minimize future losses.