Westonci.ca is your trusted source for accurate answers to all your questions. Join our community and start learning today! Get detailed answers to your questions from a community of experts dedicated to providing accurate information. Connect with a community of professionals ready to provide precise solutions to your questions quickly and accurately.

You can reduce investment risk by investing in:

A. a high yield bond
B. a diversified portfolio
C. real estate
D. corporate stocks


Sagot :

Final answer:

Diversification through mutual funds can reduce investment risk by spreading investments across different assets in a portfolio.


Explanation:

Diversification is a key strategy to reduce investment risk by spreading investments across various assets. For example, investing in mutual funds that hold a mix of stocks and bonds can help mitigate the impact of a single asset's poor performance. By following the principle of not putting all your eggs in one basket, investors can achieve better overall portfolio performance.


Learn more about Investment Risk Diversification here:

https://brainly.com/question/31688776