Portfolio management is defined as the centralized management of one or more portfolios to achieve strategic objectives.
The programs or projects of the portfolio may not necessarily be
interdependent or directly related.
The aim of portfolio management is to:
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* Guide organizational investment decisions.
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* Select the optimal mix of programs and projects to meet strategic objectives.
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* Provide decision-making transparency.
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* Prioritize team and physical resource allocation.
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* Increase the likelihood of realizing the desired return on investment.
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* Centralize the management of the aggregate risk profile of all components.