Diversifying your investments means "investing in a mix of stocks, bonds, and other assets." This strategy aims to reduce risk by spreading investments across various financial instruments, industries, and other categories. By not putting all your money into one type of asset, you can potentially minimize the impact of poor performance in any single investment on your overall portfolio.
What does it mean to diversify your investments?
investing in a specialized stock, bond, or other asset
investing only in stocks, bonds, and other assets that you like
investing in stocks, bonds, and other assets that support diversity
investing in a mix of stocks, bonds, and other assets
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