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If an Investor Buys Enough Stocks, He or She Can

question 57

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If an investor buys enough stocks, he or she can, through diversification, eliminate all of the market risk inherent in owning stocks, but as a general rule it will not be possible to eliminate all diversifiable risk.


Definitions:

Barriers to Success

Various obstacles that prevent or hinder one's ability to achieve success or reach goals.

Changing Your Attitude

The process of intentionally adjusting one's mindset or outlook, often to become more positive, resilient, or open to new experiences.

Concentrating on Positive

The practice of focusing one's thoughts and energy on optimistic and beneficial aspects of a situation.

Competitive Advantage

A business strategy that allows a company to outperform its competitors, often through unique resources, capabilities, or efficiencies.

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