financial Management discussion iv

Go to www.cnbc.com and explore the video tab by using the key term diversification. As you learned in this unit, there are various sources of information. Watch at least three videos you find, list the videos you viewed, and provide a summary of the type of information the video contained and how it relates to this unit.

reply to 

I watched following videos.

1. http://www.cnbc.com/id/102752944

2. http://www.cnbc.com/id/102746326

3. http://www.cnbc.com/id/102746997

Those videos are based on diversification. We know that, for an extent, as the diversification increases the level of risk decreases and returns become more stable. By using this concept, various mutual fund managers, ETFs and Retirement Funds managers diversify their portfolio. Diversification gives an exposure to various sectors and hence provides stability to the investment returns.