// TRADING TERMINOLOGY
What is Asset Class?
A broad category of financial instruments that share similar characteristics and tend to behave similarly in the market — forex, equities, commodities, and indices are each their own asset class.
In-Depth Explanation
Read the full guide: [What Is Trading?](/basic/what-is-trading)
Practical Example
"A trader diversifies across asset classes by holding a long position in gold (commodities) while also trading GBP/USD (forex)."
Related Terms
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