Portfolio Diversification in Investment Risk Management
Portfolio diversification is a cornerstone of effective investment risk management. 방사능 관련주
It involves spreading investments across various asset classes, industries, geographic locations, and other categories to mitigate risks and enhance the potential for returns.
This section delves deeply into how portfolio diversification can be strategically used to manage investment risks and optimize the performance of an investment portfolio.
Understanding Portfolio Diversification
Portfolio diversification is based on the premise that different investments will perform differently under varying market conditions.
By diversifying investments, an investor can reduce the risk that a single negative event will affect the entire portfolio significantly.