Question
Why should you diversify your investment portfolio?
Interesting Question? 
(6) 
(4)
(6) (4)
Answers (1)
5th May 2010 by JonB
Diversification is generally done to reduce risk by being overexposed in a certain sector or industry. The logic behind diversification is to lessen the impact of the unexpected. If you have assets in a wide array of sectors, it is less likely that one major event will do major damage to your portfolio.
Diversification is generally done to reduce risk by being overexposed in a certain sector or industry. The logic behind diversification is to lessen the impact of the unexpected. If you have assets in a wide array of sectors, it is less likely that one major event will do major damage to your portfolio.
Like This Answer? (0) (0)
This answer is the subjective opinion of the writer and not of FinancialAdvisory.com
(0) (0)
4th May 2010 In Investing
1 Answers | 46 Views
Subjects: portfolio,