Question

*PLEASE ANSWER !!! I DONT GET IT, !! ASAP*
Elena is excited to invest, but she is worried that she might lose her investment funds by making risky
investments. How could Elena use diversification to manage her risk? (1 point)

a. ) Elena could forego investing altogether.

b. ) Elena could purchase multiple assets from multiple sources.

c. ) Elena could invest some of her funds into a single low-risk investment and pocket the rest
as cash.

d. ) Elena could invest all of her funds into a single low-risk investment.

Answer 1

Answer:

Elena could purchase multiple assets from multiple sources.

Explanation:

Answer 2

For reducing the risk Elena should acquire multiple assets from the multiple sources.

What is diversification of the assets?

Diversification refers to the strategy that deals in the risk management where various kind of investment should be involved within a portfolio. It comprise of various type of assets and the investment so that the risk could be minimized instead of investing in one kind of asset.

Therefore, the option b is correct.

Learn more about risk here: https://brainly.com/question/6111641