Question

Jamaal wants to diversify his investments. Which of the follow investments should Jamaal invest in to best serve this financial goal?

A. Only bonds

B. A portfolio of stocks, bonds, and precious medals

C. Only stocks

D. Only precious metals

Answer 1

To diversify investments means that one wants to invest in a variety of things (so if one goes wrong, they don't lose all their money)

So the answer is B. A portfolio of stocks, bonds, and precious metals.