Celestila Moonn, an UMB MBA student reads the following excerpt in The Wall Street Journal and after that Moonn was wondering whether her 401K

Celestila Moonn, an UMB MBA student reads the following excerpt in The Wall Street Journal and after that Moonn was wondering whether her 401K portfolio (which holds stocks, bonds and mutual funds) would benefit from diversification.

Diversification has been a fundamental concept in asset management and asset-pricing theories. The concept is so essential that it has been popularized by the adage: “Don’t put all your eggs in one basket.” In finance, diversification implies that you can obtain the same expected returns but reduce your risk by investing in a portfolio of many assets rather than investing in only one or a few assets. ………What has been questioned is the applicability of diversification. In fact, in the 2007-09 financial crisis, portfolios that were supposed to be well diversified and, therefore, protected from the risk of large losses actually lost significant value. For example, those invested in the S&P 500, which is, in itself, highly diversified (but consisting entirely of equities), would have lost 57% from the market’s peak (9 October 2007) to its bottom (9 March 2009).

Briefly discuss whether you agree or disagree with Moonn’sconcerns.

Show more

Calculate Your Essay Price
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
The price is based on these factors:
Academic level
Number of pages
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more

Order your essay today and save 10% with the coupon code: best10