Phrases with «true diversification»

"True diversification" refers to the practice of spreading investments across different types of assets or markets. By doing so, it minimizes the risk of losing money in any one investment. It is like not putting all your eggs in one basket, instead distributing them in various baskets to reduce the chances of losing all the eggs if one basket falls. True diversification is a strategy to maintain a balanced investment portfolio and increase the likelihood of overall stability and success. Full definition

Sentences with «true diversification»

  • One consists of true diversification in an investment portfolio comprising disparate asset classes and strategies. (trendfollowingmentor.com)
  • But buying different stock groups isn't true diversification because most groups move in similar directions during big market moves. (thedigeratilife.com)
  • True diversification means owning assets that do not move together. (charlessizemore.com)
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