diversification

IPA: daɪvɝsʌfʌkˈeɪʃʌn

The act, or the result, of diversifying.
A corporate strategy in which a company acquires or establishes a business other than that of its current product.
(finance) An investment strategy involving investing in a range of assets with differing features in order to reduce specific risk.

Examples of "diversification" in Sentences

In order to minimize risk, it's important to practice diversification by investing in different asset classes
Diversification is a key strategy to protect your portfolio from market fluctuations
By spreading out your investments across a variety of sectors, you can achieve better diversification
The goal of diversification is to create a well-balanced and stable investment portfolio
Successful investors know the importance of diversification in building long-term wealth