Even though we are 100% sure that the company is doing well, but we never know if there will be any unexpected black swam issue that might simply cause the stock to plunge suddenly. So, by diversify your portfolio, you distribute the potential risk and it is more sustainable to invest this way in long run.
Diversification is a risk management strategy that creates a mix of various investments within a portfolio. A diversified portfolio contains a mix of distinct asset types and investment vehicles in an attempt to limit exposure to any single asset or risk.
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- icycrystal·2024-03-08thanks for sharing1Report