Answer: An investor should select securities that are less linked or negatively correlated who wants to diversify their portfolio or holdings.
Step-by-step explanation:
Relying on the blending of various assets in a portfolio, diversification is a strategy for lowering investment risk. As the assets would respond uniformly to a specific economic development or market shift, a large positive correlation is inappropriate. A portfolio's risk is raised as a result. Since assets would respond to a change in the opposite way, a negative correlation is advantageous for lowering investment risk.