__________is a strategy for reducing risk by buying a variety of items so that the failure of one stock or one business does not doom the entire portfolio.

Question

Quizplus · Accepted Answer

Diversification is a risk reduction strategy in which an investor spreads their investments across a variety of assets such as stocks, bonds, and mutual funds. This way, if one of the assets performs poorly or loses value, the other assets in the portfolio may still perform well, reducing the overall impact of the loss.

__________Is a Strategy for Reducing Risk by Buying a Variety