Question
can anyone paraphrase this professionally for me To help manage systematic risk, investors should ensure that their portfolios include a variety of asset classes, such
can anyone paraphrase this professionally for me To help manage systematic risk, investors should ensure that their portfolios include a variety of asset classes, such as fixed income, cash and real estate, each of which will react differently in the event of a major systemic change. An increase in interest rates, for example, will make some new-issue bonds more valuable, while causing some company stocks to decrease in price as investors perceive executive teams to be cutting back on spending. In the event of an interest rate rise, ensuring that a portfolio incorporates ample income-generating securities will mitigate the loss of value in some equities.
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