Diversification

Diversification in finance means putting your money into different places to reduce risk of losing it. It’s like not putting all your eggs in one basket.

Diversification is like filling your plate at a buffet. Instead of just piling up one type of food, you get a bit of everything. This way, if one dish isn't great, the others make up for it.

In investing, diversification means spreading your money across different types of investments, like shares, bonds, or property, reducing the risk that all your money takes a hit if one investment doesn't do well.

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