Answered

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Even if some of the stocks have negative performances, why can investing in the whole S&P 500 still provide a decent return?

Sagot :

GinnyAnswer

Final answer:

Investing in the S&P 500 offers diversification benefits and historically high returns despite individual stock fluctuations.


Explanation:

Diversification through investing in the S&P 500 can provide a decent return despite some stocks having negative performances. The S&P 500 consists of five hundred companies, offering a broad exposure to the market which can help offset individual stock risks. Over the long term, the S&P 500 has historically returned around 9-10% per year, making it an attractive investment choice for many.


Learn more about Investing in the S&P 500 here:

https://brainly.com/question/36705661


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