Question

Investing in a global stock fund is a good idea to:

a.focus all risk on the u.s. economy
b.keep your portfolio dependent solely on the u.s. dollar
c.diversify into municipal and corporate bonds
d.diversify holdings to spread risk outside the u.s. economy submit

Answer 1

The best answer is to d)diversify holdings to spread risk outside of the U.S. economy submit. The global stock fund is the global equity investment for investors to invest to gain the return. A portfolio is made by the investors to reduce the risk of the investment and made more stable investments' return.