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Diversification

"Diversification" refers to the spreading of investments among different categories of assets or sectors to reduce the risk of owning any single asset. Diversification may be among types of assets (for example, stocks, bonds, real estate, etc.), companies, industries, types of mutual funds (for example, growth, income, speculative, or international) or geographic locations.

 

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"Payment in kind bonds" refer to bonds whose interest is paid through the issuance of additional bonds.
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