1. Summarize what the buy-and-hold strategy is all about. 2. Explain the concept of dollar-cost averaging including...

Question:

1. Summarize what the buy-and-hold strategy is all about.
2. Explain the concept of dollar-cost averaging including why one invests at below-average costs.
3. What is the goal of diversification, and how is this accomplished?
4. What is asset allocation, and why does it work?
5. What happens to a worker's 401(k) retirement account if he or she signs up for a limited management account service? Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...