Asked by
JAED L LUCENA-SANTANA
on Dec 17, 2024
Verified
Increasing the number of corporations whose stocks are in your portfolio reduces market risk.
Market Risk
Risk that affects all companies in the stock market.
Portfolio
A collection of financial investments like stocks, bonds, commodities, cash, and cash equivalents, including closed-end funds and exchange traded funds (ETFs).
- Recognize the importance of diversification in minimizing risk exposure in portfolio investments.
Verified Answer
AJ
Learning Objectives
- Recognize the importance of diversification in minimizing risk exposure in portfolio investments.
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