Investment diversification is a portfolio that includes various assets that can earn the highest return with the least risk. In a diversified investment portfolio, there are typically a variety of stocks, fixed income, bonds, mutual funds, ETFs, commodities and more....
Periodically, we post questions from clients and prospective clients with our answers to them. One of our prospective clients asks about owning bonds in a volatile market. We want to discuss the merit of bonds in this context. Question: When the bond market tanks, do...