Creating a Portfolio by Buying Several Different Types of Investments

question 123

Multiple Choice

Creating a portfolio by buying several different types of investments to spread the risk of investing is called

• A) modulation.
• B) diversification.
• C) re-allocation.
• D) formula investing.

---

Definitions:

Engelbert Dollfuss

The Chancellor of Austria from 1932 until his assassination in 1934, known for his authoritarian leadership and anti-Nazi stance.

Political Parties

Political parties are organized groups of people with similar political aims and opinions, seeking to influence public policy by getting their candidates elected to public office.

Fatherland Front

A political organization or coalition, often associated with right-wing or nationalist movements, that emphasizes patriotism and national solidarity.

Collectivized Farms

Agricultural operations where the land and resources are owned and managed collectively by a group of farmers or the government, as seen in socialist and communist societies.