Final answer:
In portfolios, investments are initiated or concluded based on the organization's strategic plan and business cycle, in line with overarching goals. Firms invest in assets with the expectation of future profitability, seeking financial capital to support these initiatives.
Step-by-step explanation:
In portfolios, the organization's strategic plan and business cycle dictate the start or end of specific investments, and these investments may serve widely divergent objectives. Investment strategies within organizations involve allocating resources and coordinating activities to achieve long-term financial gains. Firms typically funnel money into ventures they believe will yield returns over the future, which could range from acquiring new machinery to launching research and development projects or even building new facilities. To fund these investments, firms have various means of raising the necessary financial capital.