Diversify investments across asset classes from "summary" of Let's Talk Money by Monika Halan
To protect your savings from the vagaries of the market, it's important to spread your investments across different types of assets. This can help reduce the overall risk in your portfolio. By investing in a mix of asset classes such as stocks, bonds, real estate, and commodities, you can potentially minimize the impact of any one asset class performing poorly. Each asset class has its own characteristics and tends to perform differently under various market conditions. For example, stocks are known for their potential for high returns but also come with high volatility. On the other hand, bonds are generally considered safer investments but offer lower returns. By diversifying across asset classes, you can benefit from the strengths of each while mitigating the weaknesses. ...
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