Portfolio Investment refers to the purchase of a collection of financial assets, such as stocks, bonds, and mutual funds, with the goal of generating returns. Investors diversify their holdings to spread risk and enhance potential gains, rather than putting all their money into a single asset. This type of investment can be managed by individuals or through investment funds and financial advisors. The performance of a portfolio is influenced by market conditions, economic factors, and the specific assets chosen, making it essential for investors to monitor and adjust their portfolios regularly to align with their financial goals.