Part 4/9:
Diversification remains the most vital strategy for risk mitigation in uncertain times. As the U.S. prepares for a new president and a resilient economy with high market valuations, there is a temptation to focus heavily on the tech giants and the S&P 500. However, such concentration increases vulnerability. Instead, investors should diversify across sectors—such as banks, utilities, and real estate—that stand to benefit from falling interest rates and other macro trends.