To minimize risk, investments in equities should be

Question

a. the most substantial part of an investment strategy.
b. maintained in the investor’s employer company only.
c. diversified into many different industries.
d. concentrated in profitable industries.
e. checked daily for price movement.

Answer 1

To minimize risk, investments in equities should be:

c. diversified into many different industries.

Diversification helps spread risk across various sectors and companies, reducing the impact of poor performance in any single investment.