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Diversification is a fundamental investment tool. Which of the following is a key to diversification? a. VarietyInvest in a wide range of financial products. b.

Diversification is a fundamental investment tool. Which of the following is a key to diversification?

a. VarietyInvest in a wide range of financial products.
b. CorrelationLook at investments that are not closely correlated, meaning that their values don't tend to move in the same direction at the same time.
c. QuantityThere's no such thing as a diminishing return to diversification, so you should invest in the maximum number of investments as possible. If you can invest in thousands of different investments within your portfolio, you should.
d. Statements a, b, and c are all correct.
e. Statements a and b are correct.

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