To ensure effective and profitable trading for the investor, the Depository Participant creates and manages a unique investment portfolio for every investor. A portfolio is a collection of different investment instruments as well as the combination of specific types of shares. These contents of a portfolio are known as holdings. The variety of holdings in a portfolio, determine the diversification of a portfolio. Usually, Depository Participants advocate a diversified portfolio with stocks of varied sectors, bonds of varying maturities, etc. However, the specific objectives, income, the risk-security ratio of individual investors determine the diversity or type of holdings in a portfolio. Understanding, discussing and then organizing the holdings for a portfolio is known as portfolio management.