# Diversification

*Saving & Investing — Finicade finance glossary*

Not putting all your eggs in one basket. Spreading money across assets that don't move in lockstep lowers your portfolio's swings without necessarily lowering its return — the closest thing to a free lunch in investing.

**Related terms:** [Asset Allocation](https://finicade.com/glossary/asset-allocation), [Portfolio](https://finicade.com/glossary/portfolio), [Correlation](https://finicade.com/glossary/correlation), [Unsystematic Risk](https://finicade.com/glossary/unsystematic-risk)

**Taught in:** Charter Climb — Portfolio Risk & Return

Source: https://finicade.com/glossary/diversification