Welcome to Westonci.ca, your ultimate destination for finding answers to a wide range of questions from experts. Experience the ease of finding accurate answers to your questions from a knowledgeable community of professionals. Connect with a community of professionals ready to help you find accurate solutions to your questions quickly and efficiently.

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