Approaches to the formation of an optimal personal investment portfolio in Ukraine
Open Access
- 6 May 2021
- journal article
- Published by LLC CPC Business Perspectives in Investment Management and Financial Innovations
- Vol. 18 (2), 91-105
- https://doi.org/10.21511/imfi.18(2).2021.08
Abstract
Globalization and IT progress are expanding the possibilities of using various financial instruments to create a personal investment portfolio. The purpose of the study is to differentiate the investment portfolio by the level of income of Ukrainian citizens and its impact on the effectiveness of personal finance management. Analysis of indicators of state and current investment trends allowed identifying the optimal ratio of profitability and risk in financial decisions of individuals by diversifying the investment portfolio, creating personal reserves, localizing investment instruments and minimizing the use of credit resources.The result of the study is the development and justification of criteria that an investor should meet during the investing. In particular, the formation of an individual investment portfolio depending on personal income allows everyone to justify an effective personal investment policy, taking into account the available investment tools. The paper covers the approaches to the formation of a person’s investment portfolio, depending on the level of his or her income. The paper also examines the need to form an optimal investment portfolio, depending on the real financial opportunities of a person.Keywords
This publication has 16 references indexed in Scilit:
- ОСОБИСТІ ФІНАНСИ ТА ФІНАНСИ ДОМОГОСПОДАРСТВ ЯК РЕЗЕРВ ЕКОНОМІЧНОГО ЗРОСТАННЯ РЕГІОНІВInternational Journal of Innovative Technologies in Economy, 2019
- Активізація інвестиційних можливостей домогосподарств у контексті детінізації економіки України.Published by Vasyl Stus Donetsk National University ,2018
- Foreign direct investment, human capital and non-linearities in economic growthJournal of Macroeconomics, 2010
- Daniel Kahneman and Vernon Smith: Nobel Prize for the Feeling of Reality (Economic Analysis of Human Behavior)Voprosy Ekonomiki, 2003
- Judgment under uncertainty: heuristics and biases, Kahneman, Daniel, Slovic, Paul and Tversky, Amos (eds), New York and Cambridge: Cambridge University Press, 1982. Price: £25/45 (Hardback), £9.95/$15 (Paperback). Pages: 555Journal of Forecasting, 1984
- The Economic Approach to Human BehaviorPublished by University of Chicago Press ,1976
- The Collected Writings of John Maynard Keynes: From the Tract to the General TheoryThe Economic Journal, 1975
- The Market for "Lemons": Quality Uncertainty and the Market MechanismThe Quarterly Journal of Economics, 1970
- A theory of human motivation.Psychological Review, 1943
- A Reconsideration of the Theory of Value. Part IEconomica, 1934