what is diversification

Investment Diversification

Investment Diversification   What is Investment Diversification? Investment diversification is the practice of spreading your money across different types of investments. The goal is to reduce the overall risk of your portfolio by making sure you don’t have all your eggs in one basket. Why Diversification is Important Reduces risk: Different investments react differently to market fluctuations. By diversifying, you lessen the impact that any single investment can have on your portfolio. Increases potential for returns: Diversification allows you to participate in…