Question

Diversification means: a. allocating all your investment funds into one type of investment. b. allocating your investment funds to several types of investments. c. being knowledgeable about the various types of investment opportunities. d. buying investments on margin

Answer 1

Answer:

b. allocating your investment funds to several types of investments

Explanation:

Diversification means allocating your investment funds to several types of investments. To diversify means to shift away from the ordinary and normal investment to look into a new profitable one.