SS.912.FL.5.6

Describe how diversifying investments in different types of financial assets can lower investment risk.

Remarks

Compare the risk faced by two investors, both of whom own two businesses on a beach. One investor owns a suntan lotion business and a rain umbrella business.
The other investor owns two suntan lotion businesses. Explain why a financial advisor might encourage a client to include stocks, bonds, and real estate assets in his or her portfolio.
General Information
Subject Area: Social Studies
Grade: 912
Strand: Financial Literacy (Discontinued after 2023-2024)
Date Adopted or Revised: 04/15
Status: State Board Approved

Related Courses

This benchmark is part of these courses.
2102800: Florida’s Preinternational Baccalaureate Comparative Economics With Financial Literacy (Specifically in versions: 2014 - 2015, 2015 - 2022, 2022 and beyond (current))
2102335: Economics with Financial Literacy (Specifically in versions: 2014 - 2015, 2015 - 2018, 2018 - 2022, 2022 - 2024 (course terminated))
2102340: Economics with Financial Literacy for Credit Recovery (Specifically in versions: 2015 - 2018, 2018 - 2022, 2022 and beyond (current))
2102345: Economics with Financial Literacy Honors (Specifically in versions: 2014 - 2015, 2015 - 2018, 2018 - 2022, 2022 - 2024 (course terminated))
7921022: Access Economics with Financial Literacy (Specifically in versions: 2014 - 2015, 2015 - 2018, 2018 - 2023, 2023 and beyond (current))
2102372: Personal Financial Literacy (Specifically in versions: 2015 - 2018, 2018 - 2019, 2019 - 2022, 2022 and beyond (current))
2102374: Personal Financial Literacy Honors (Specifically in versions: 2015 - 2018, 2018 - 2019, 2019 - 2022, 2022 and beyond (current))
1200387: Mathematics for Data and Financial Literacy (Specifically in versions: 2016 and beyond (current))
7921021: Access Personal Financial Literacy (Specifically in versions: 2019 - 2023, 2023 and beyond (current))

Related Access Points

Alternate version of this benchmark for students with significant cognitive disabilities.
SS.912.FL.5.AP.6: Discuss how diversifying investments in different types of financial assets can lower investment risk.

Related Resources

Vetted resources educators can use to teach the concepts and skills in this benchmark.

Student Resources

Vetted resources students can use to learn the concepts and skills in this benchmark.

Parent Resources

Vetted resources caregivers can use to help students learn the concepts and skills in this benchmark.