Diversification is the practice of not holding all your eggs in one basket, thereby owning a mix of stocks with different business activities, as well as other investments like bonds. The main purpose of diversification is to minimize against market downturns, though In some cases, it can also limit the extent of an upside. My wife and I have invested over $400,000 in the shares of $XEQT. In this video, I elaborate why we have done that, and how we combine it with my DB pension plan, our home, and our cash reserve to have a more diversified set of assets. I also review how virtually the entire S&P 500 and NASDAQ-100 stocks which are so popular among Canadian investors are included as part of the aggregate underlying holdings of XEQT. While returns on investment may feel turbulent in the short-term, staying calm and avoiding impulsive decisions will help charter a better path toward achieving long-term financial goals. ๐ How do you ensure to diversify your investments and portfolio? โ Subscribe to Moementum Channel for more Investing and Financial Freedom videos: http://www.youtube.com/channel/UCdowKIv5o3wDhpaOAx3FIZw ๐บFollow me on Blossom to see my portfolio & trades! ๐ฐ๐๐ https://blossomsocialapp.page.link/moe โก๏ธ Get rewarded up to $2500 in cash by opening a free Wealthsimple Trade account using the referral code IZ0RTW ... ๐๐๐๐๐ ๐๐๐๐๐ ๐ https://my.wealthsimple.com/app/public/trade-referral-signup?code=IZ0RTW Sources: https://www.ishares.com/us/insights/a-masterclass-in-diversification https://www.blackrock.com/americas-offshore/en/education/portfolio-construction/diversifying-investments โ Earn $50 when you open a Questrade Account: https://start.questrade.com/?oaa_promo=556627103408909& ๐ Check the entire portfolio (for my wife and I) on Google Data Studio Dashboard: https://lookerstudio.google.com/reporting/1a3f75b2-a49d-461d-a930-03642dc5e68c โ Other recommended videos: Ultimate Guide to ETF Investing in Canada ๐ (Investing for Beginners): https://youtu.be/GcSpca44n_U Best Canadian Dividend ETFs for Passive Income ๐ (Dividend Investing for Beginners): https://youtu.be/wEl-WzIoNnU Highest Yield ETF in Canada?! 13% Yield for Monthly Passive Income (HMAX Full Review) ๐๐ต๐: https://youtu.be/YtKKCUbw7i0 Best S&P 500 ETFs for Canadians | Low Cost, High Return (~ 100% Return in 5 Years): https://youtu.be/EdxHlpdyQMQ Top 6 Canadian Dividend ETFs to invest in (Monthly Dividend Income): https://youtu.be/wols1YAW2ak 5 Best Dow Jones ETFs with High Returns ๐ Passive Stock Market Investing via Exchange Traded Funds: https://youtu.be/HlzrEaOa2qk 5 Best Canadian Index Funds to Invest in 2023 ๐ | Passive Income through Low Cost High Yield ETFs: https://youtu.be/jxET0qrY6Kg $485,000 Stock Market Portfolio (WATCH THIS if you are NEW to investing!๐): https://youtu.be/bAC81CTp2J0 Investing in All-in-One ETFs for Early Retirement (Interview with@CanadianFinanceSimplified ๐): https://youtu.be/WM_pWeGtIqw Top 6 Canadian Bank ETFs for Dividend Income: https://youtu.be/HqBQv54ZOUY How to Earn $4K Passive Dividend Income Tax Free in Canada ๐๐ค๐ฐ: https://youtube.com/shorts/vIIkcYUgq7g Best Bond Index ETFs (Passive Investing during High Inflation in Canada ๐): https://youtu.be/1V4HcDg7RxQ #investingforbeginners #stockmarket #dividendincome #investing #canadianinvestor #money #financialindependence ************************* Give this video a thumbs up if you enjoyed it. Share the message if you were inspired! *** Special Offers *** โบ Check out NEO FINANCIAL Cashback Mastercard and Get $50 when you sign up for your card using this referral link: https://join.neo.cc/Moementum ๐ซ Use the referral link below to sign up for Shakepay Crypto Trading tool and earn $30 when you buy $100 of digital currency (That's like 30% of immediate return!). Plus you can shake your phone everyday to earn free fractions of bitcoin: https://shakepay.me/r/TI81EPK ๐You can also follow our Podcast, "Financial Independence Factor" (available on Google Podcast, Spotify and other platforms) for inspiring episodes focused on financial independence: https://open.spotify.com/show/6Ju5r3cXUOSNtFlOzc9ovV โ Use the following referral link to earn $20 when you open a new EQ Bank (Equitable Bank) account: https://join.eqbank.ca?code=MOSTAFA3611 โ Open a Tangerine account with my Orange Key 56004245S1 and get a $50 bonus! โ Get $10,000 managed free for 12 months through the Wealthsimple Investing promo link below: https://wealthsimple.com/invite/Mostafa โ Get a Free Stock by using this referral code: Invest in US Stocks and ETFs on Stake. Join today using my referral code mehrann962 and we can both get a free stock: https://hellostake.com/au/referral-program/?referrer=mehrann962 You can also find us on: Facebook: https://www.facebook.com/moementumconsulting Instagram: https://www.instagram.com/moementumconsulting/ Twitter: https://twitter.com/findmoementum TikTok: https://www.tiktok.com/@findmoementum