What Does it Mean?
An investment approach that involves looking at the "big picture" in the economy and financial world and then breaking those components down into finer details. After looking at the big picture conditions around the world, the different industrial sectors are analyzed in order to select those that are forecasted to outperform the market. From this point, the stocks of specific companies are further analyzed and those that are believed to be successful are chosen as investments.
경제 전체와 금융시장의 흐름을 먼저 본 다음 큰 흐름을 세부적으로 분석해 투자하는 방식. 예를 들면 세계 경제의 상황을 머저 분석하고 그 다음에 시장을 상회할 것으로 추정되는 산업분야를 알아내기 위해 다양한 산업분야를 분석하는 방식이다. 개별 기업의 주식들도 이런 관점에서 분석하고 미래에 성공이 예상되는 종목들은 투자 대상으로 선별한다.
from = investopia. com
An investor may use different criteria when deciding to employ the top-down approach. For example, an investor may consider such factors as geography, sector and size. What is important with this approach is that a big picture perspective is taken first before looking at the details. Although there is some debate as to whether the top-down approach is better than the bottom-up approach, many investors have found the top-down approach useful in determining the most promising sectors in a given market.