Return to Blog

How important is diversification?

How much do you want to put your eggs in one basket?  Even a few baskets?

 

Diversification spreads your risk among many different investments.  Appropriate diversification involves investing in hundreds of different companies across many industries and sectors.  It usually involves investing in a number of different funds, unless you are mega wealthy and can buy the stock outright of hundreds of companies (this does not take into account the higher investment fees for doing that, of course).  If one company goes sour, the impact on your total investment is minimal.  If a whole sector takes a hit, the other sectors can mitigate the damage.  Diversification does not protect you from systematic risk, however – if everything tanks, such as in the downturn in 2008-2009, then so will your investments.

Also see this post about diversification

Wiser Wealth Management, Inc. is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments or investment strategies. Investments involve risk and, unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Past performance is not indicative of future performance.

Happy Independence Day!

#independenceday #julyfourth #fourthofjuly

Happy Birthday to Kylie, our Marketing Assistant! Kylie works hard behind the scenes on our website, podcast, social media, and so much more.

Meet Daphne, our Financial Planning Intern. She is studying Finance at The University of Georgia. We are excited she's joined us for the summer!

https://conta.cc/3Ov1Fub

Your Medicare premium is affected based on which tax bracket you fall within after age 63. IRMAA is your income-related monthly adjustment amount. Watch today's video to learn more about how IRMAA works.

https://conta.cc/3zK9WGw #irmaa #medicare

The big question is, will we have a recession in 2022? Watch this video to find out!

https://conta.cc/3Mz2z7D #recession2022 #recession
https://youtu.be/45TvHaZf4z4#recession2022

Company

Services

Client Access

Firm Information

Schedule a Meeting
678-905-4450[email protected]
Google Rating
5.0
Based on 71 reviews
js_loader