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Don't Drop the Eggs

Why owning many different stocks across sectors keeps your money safer when markets go up and down.

  • Define diversification
  • Spot a portfolio that's too narrow
  • Pick stocks from different sectors

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▶ Video lesson · Watch first
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All eggs, one basket?

If you put all your eggs into one basket and trip — crack! All gone. But if your eggs are in three baskets, dropping one isn't a disaster.

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Sectors

Stocks come in groups called SECTORS — food, animals, space, games, and more. Owning stocks from many sectors is called DIVERSIFICATION.

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Why it helps

If the food sector has a bad day, your space stocks might still go up. Diversification doesn't promise profit, but it smooths the bumps.

📝 Quiz Time

Complete = +250 VC · Score 80%+ = +500 VC bonus

1. Diversification means…

2. A sector is…

3. Why diversify?

4. Best diversified portfolio?

5. Does diversification guarantee profit?

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