Multiple Choice
Which of the following is a drawback of diversification?
A) Spreading your investment over many securities may limit your chances for a large return.
B) The value of a diversified fund could decrease and be worth less than the original investment
C) Fees associated with diversification are not worth the possible benefits of diversification.
D) Diversification offers no extra safety as all stock go up in the long term.
E) None of the above.
Correct Answer:
Verified
Correct Answer:
Verified
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