Portfolio management refers to the process of strategically managing a collection of investments, known as a portfolio, to achieve specific financial objectives. It involves making decisions about asset allocation, diversification, risk management, and the selection and monitoring of investment instruments such as stocks, bonds, mutual funds, and other securities. The goal of portfolio management is to optimize the risk-return trade-off by balancing investments based on an individual’s or organization’s risk tolerance, time horizon, and investment goals. Effective portfolio management aims to maximize returns while minimizing risk through careful analysis, monitoring, and adjustment of investments.