Portfolio Analysis is one of the six volumes in the Supply Chain Management series. The book's title characterizes its subject matter. Portfolio Analysis is the scientific study of a company's assets and liabilities, as well as their interrelationship. The term "portfolio" is taken from economists who define it as the entire economic system that underlies a firm's activities.
The author has compiled a set of the most important concepts from various fields, including economics, actuarial science, business management, and finance. This compilation provides a rigorous approach to managing the portfolio, with a view toward maximizing the firm's long-term returns. Portfolio Analysis is a comprehensive industry text by a broad range of accountants and production managers who have had substantial experience in the assessment, management, and allocation of the firm's capital assets. It provides an excellent description of the concept of portfolio optimization, the implementation of efficient asset allocation, and the evaluation of strategic choices.
The main topic of Portfolio Analysis is the identification and evaluation of firm assets that can be converted into capital assets and the location of these assets. The book contains chapters that analyze different aspects of organization and capital structure, as well as the correlation between the parts. Investors need not worry that this text will focus solely on the practical aspects of making investment decisions. The authors describe how to conduct a thorough, systematic analysis of a firm's financial structure and current asset holdings. It also describes various types of investments and the importance of selecting appropriate types for optimizing returns.