Underweight definition

Below the normal, desirable, or allowed weight.

Insufficiency of weight.

Holding or containing relatively less of a specified asset, security, etc.

Weight that is less than needed, desired, or allowed.

In investing, to hold a smaller amount or proportion of in a portfolio, as in relation to some benchmark.

Weighing less than is normal, healthy, or required.

Insufficiency of weight.

An investment or a sector that takes up a relatively small percentage of a portfolio. For example, an analyst might tell investors to underweight their holdings of technology stocks, or a person may say that their telecom holdings are underweighted. Underweight contrasts with overweight, which means that there is a disproportionately high amount of funds in a particular stock or sector.

(finance) Being less invested in a particular area than market wisdom suggests.

The state or quality of being underweight.

To give insufficient weight to (a consideration); to underestimate the importance of.

Weighing less than is normal, healthy, or required.