the image shows alexs investments in one year. investments during one year alex starts with $1,000. alexs…

the image shows alexs investments in one year. investments during one year alex starts with $1,000. alexs investments: stock: $1,000, -10% return value 1 year later: $900 profit: ($100) what does the information demonstrate about alexs investments? he should have invested in a commodity instead of a stock. he would have lost more with a higher - risk investment. he most likely would have benefited by diversifying. he most likely would have profited by buying more of the stock.

the image shows alexs investments in one year. investments during one year alex starts with $1,000. alexs investments: stock: $1,000, -10% return value 1 year later: $900 profit: ($100) what does the information demonstrate about alexs investments? he should have invested in a commodity instead of a stock. he would have lost more with a higher - risk investment. he most likely would have benefited by diversifying. he most likely would have profited by buying more of the stock.

Answer

Brief Explanations:

Diversification spreads risk. Alex had all - his money in one stock and lost. Spreading investments across different asset classes could have potentially reduced losses.

Answer:

He most likely would have benefited by diversifying.