Question: 3 . Why is diversification an important strategy in retirement planning? a . It ensures that all investments will grow at the same rate. b

3. Why is diversification an important strategy in retirement planning?
a. It ensures that all investments will grow at the same rate.
b. It allows retirees to invest solely in high-risk stocks for maximum growth.
c. It helps manage investment risk and guard against unfavorable market fluctuations.
d. It guarantees a fixed income post-retirement.

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