This issue has been slightly touched on in the above link but I am hoping the collective expertise of this community could expand it. I have been reading PMBoK 5e. From what I gather the only functional difference between Progam management and Portfolio Management is that programs should be grouped by a common outcome or capability whereas portfolios can contain projects that are drastically dissimilar in goals or requirements. Also Projects within a portfolio will necessarily share a strategic objective.
Does this reflect the real business world? Is an organization with projects within programs within one of many portfolios a common structure?
I am wondering if this is an example of jargon for the sake of jargon or if there are enough real world applications of this organizational structure that it is useful to understand it (beyond for testing purposes).