What is underweight in stocks? Underweighting typically means that an investor is holding fewer shares of a particular stock than that stock’s weighting in the relevant index. For example, an investor who believes that the technology sector will underperform the overall market might choose to have a smaller allocation to technology stocks than the weight […]
What Does Underweight Mean In Stocks
If you’re like most people, you probably think of underweight as meaning someone who is too thin. But in the stock market, underweight is a term used to describe a stock that is not as heavily invested in as others in the same sector. A stock is considered to be underweight when its weighting in […]
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