Just because a security is rising quickly does not mean it is the best investment for you.

Q: Just because a security is rising quickly does not mean it is the best investment for you.

Consider spreading your risk. Some may advise you to concentrate your investments in a single security with a continuous high market price to maximize market profit. Dear investor you should know that listening to such advices might cause serious losses. Therefore, spreading your investments around (diversification) is a safer way.

Question

hussein.fahmy · Accepted Answer

Consider spreading your risk.

Some may advise you to concentrate your investments in a single security with a continuous high market price to maximize market profit. Dear investor you should know that listening to such advices might cause serious losses. Therefore, spreading your investments around (diversification) is a safer way.