But if the country mitigates its risk by diversifying its energy interests, green power will also innovate and see an upswing in production.

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Such a broad spectrum, said Mr Saillard, is a way of diversifying risk.

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With a broad market index you are diversifying company risk, sector risk and sometimes country risk.

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Not only does diversifying minimize risk, but in some cases war can even be good for business.

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While those regions are stable relative to some parts of the world, Apache is effectively diversifying and lessening risk through these acquisitions off the Southern US Coast.

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"This is another example of Tesco diversifying and spreading the risk, " says Piner.

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Even with alternative investments and other portfolio hedging techniques, bonds are a traditional asset class that can play a useful role in diversifying a portfolio and mitigating risk in any market environment.

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The port said it was diversifying into renewable energy sources to limit the risk from market fluctuations.

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The family recommends diversifying investments as much as possible to spread risk.

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