![Diversification](https://img-cdn.financeunlocked.com/headers-images/euromoney/4.jpg?ik-sdk-version=javascript-1.0.3)
Glossary
Investment Management
Diversification
Diversification in investment management is a form of risk management adopted by asset managers and asset owners where asset allocation is to a variety of asset classes and geographies where performance is likely to be uncorrelated or counter-cyclical.