Series 6: 7.2.2.2.3. Diversification Strategies

Taken from our Series 6 Top-off Online Guide

7.2.2.2.3. Diversification Strategies

There is perhaps no more well-known portfolio management technique than the basic concept of diversification. As the name implies, diversification is the process of choosing a variety of assets to spread out the risk from any one asset. In doing so, customers avoid “putting all their eggs in one basket” and remove the possibility that poor performance in one position destroys an entire portfolio’s return. One strategy for achieving diversification is the buying of uncorrelated assets, or assets that d

Since you're reading about Series 6: 7.2.2.2.3. Diversification Strategies, you might also be interested in:

Solomon Exam Prep Study Materials for the Series 6
Please Enable Javascript
to view this content!