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July 21, 2006, Newsletter Issue #27: One-Stop Diversification
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Tip of the Week
If you don't have a lot of money to invest but still want to diversify your portfolio, buy a mutual fund for one stop diversification. Because mutual funds contain many different stocks, you get all the benefits of multiple holdings without having to pay transaction fees for investing in each of the holdings individually. You can open a mutual fund with as little as $500. It's the most cost-effective way to build a diverse portfolio.
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