Finance Glossary
Sectoral allocation
What is a sector allocation?
Sector allocation is a distribution by economic sector of the assets constituting the portfolio of an OPC.
Sector allocation corresponds to the prioritization choices made by the fund manager of the investment fund for a particular economic sector (for example, an overweight in the fund's portfolio of companies in the automotive sector compared to their weight in the indices, underweighting of the pharmaceutical or banking sectors). See "Diversified management."