How To Diversify Your Insurance Plan’s Investment-Linked Funds
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You wouldn’t put all your eggs in one basket. A missed step or accidental bump could send all your eggs tumbling. That goes the same for your investments – if you only invest in a particular asset or market, your portfolio could be greatly affected if that investment underperforms.
Here’s where diversification comes in. When you diversify geographically – that is, allocate your investments across different assets, industries or markets – you’ll spread your risk and increase your potential returns.
If you have an investment-linked insurance plan, part of your premiums will be used to invest in specific investment-linked funds. Here’s how you can diversify the investment portion of your insurance plan with Prudential.