What is the fundamental motivation behind portfolio theory That is, what are people trying to achieve by investing in portfolios of stocks rather than in a few individual stocks or in debt What observations prompted this view ...

It has been observed that over the long term investments in equities stocks outperform investme ...

What is the fundamental motivation behind portfolio theory? That is, what are people trying to achieve by

Question:

What is the fundamental motivation behind theory? That is, what are people trying to achieve by investing in portfolios of rather than in a few individual or in debt? What observations prompted this view?

Stocks
Stocks or shares are generally equity instruments that provide the largest source of raising funds in any public or private listed company's. The instruments are issued on a stock exchange from where a large number of general public who are willing... Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...