Answered

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If the stock market goes down during a recession, you should focus on the long-term horizon and ensure your portfolio is well-diversified to minimize losses.

A. True
B. False

Sagot :

GinnyAnswer

Final answer:

Diversification in portfolios helps minimize risks during market downturns like recessions.


Explanation:

Diversification in a portfolio can help offset the risks of individual stock fluctuations, especially during market downturns such as recessions. By spreading investments across different assets, sectors, and geographic regions, investors can minimize losses during turbulent times. This strategy is essential for long-term financial health and stability.


Learn more about Portfolio Diversification here:

https://brainly.com/question/28260555


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