What does it means?

Indonesia
June 9, 2009 2:55am CST
I ever heard "Don't put all of the eggs you have on one basket". Till now i can't catch this mean point of that idiom.
3 responses
@serubhai1 (204)
• India
9 Oct 10
Hi Mtherapy, Its not only an investment idiom but people have put it into more financial contexts.It can apply to other things as well. Say, you are learning an electronics course on mobile repair. Then-say if the course offers both GPRS and CDMA courses, it will be wiser if you learn both. Say you learn only CDMA and tommorrow, CDMA phones are dropped for a better technology-there goes your livelihood. This is an example. And let me clarify that it is NOT an investnment idiom.
@dianmelydia (2271)
• Indonesia
9 Jun 09
That's investment idiom. When you find an investment opportunity, it's the basket. Your money or capital is the eggs. Just imagine that if you put all the eggs on one basket, if the basket fall down, you will lost all of your eggs. On the investment it's mean you will lose all of your capital. Have a nice day and happy mylotting.
@larish (2193)
• Philippines
9 Jun 09
This is usually use in investment or savings. It simply means that you have to diversify your investment/savings. In layman's term, you don't put all your money in one area of investment. It is better if you scattered it, example you put money in different banks, in life insurance, in stocks, in mutual fund, in trust fund and other investment available in the market. This protects your money, let say one investment didn't make it at least you still have other sources.