Mutual Fun(ds)
Here’s the basic idea behind mutual funds. It is risky to put all your eggs in one basket, right? Investing is no different.
If you invest it all in one company, and that company goes bust, that’s going to be a problem. Especially if you’re planning to retire soon. So what’s the solution? The answer is “diversification.” We’re not going to delve into the mathematics behind it, but diversification can reduce your overall portfolio risk. In fact, through all the hoopla a...
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