A wise investor will practice either diversification or asset allocation,but not both.

Question

Quizplus · Accepted Answer

Diversification and asset allocation are both important strategies in managing investment risk. Diversification involves investing in a variety of different assets to spread out risk, while asset allocation involves dividing investments across different asset classes based on an individual's investment goals and risk tolerance. A wise investor will typically use a combination of both strategies to build a well-rounded investment portfolio.

A Wise Investor Will Practice Either Diversification or Asset Allocation,but