BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Suppose you have some money. Is it safer to put your money into one business or investment, or to put your money into multiple businesses or investments?
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one business or investment
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multiple businesses or investments
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Explanation:
Detailed explanation-1: -Diversification is a common investing technique used to reduce your chances of experiencing losses. By spreading your investments across different assets, you’re less likely to have your portfolio wiped out due to one negative event impacting that single holding.
Detailed explanation-2: -In conclusion, financial literacy has both its advantages and disadvantages. On the one hand, being financially literate can help individuals make more informed decisions with their money and avoid debt. On the other hand, financial literacy can also lead to people becoming more materialistic and obsessed with money.
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