The brutal reality that many novice investors have discovered over the past 18 months is that ASX shares can lose you money.
That's what risk-reward is. Stocks potentially offer outstanding returns in the long run, but the price of admission is the risk of them plunging in value.
Sometimes, if you want to dial down the risk, you need to choose a stock that won't give you explosive growth.
While the investment might not become a 10-bagger, it could prove to be a "safe haven" that could protect your capital.
Here is one S&P/ASX 200 Index (ASX: XJO) example that I would buy if I was down to my last $2,000:
Diversify with just one stock
The Washington H Soul Pattinson and Co Ltd (ASX: SOL) share price is at 52-week highs at the moment.
So while it might not be the cheapest time to buy right now, I reckon it certainly would be a prudent pickup with a long-term horizon with your last $2,000.
That's because the company itself is in the business of investing.
So what better way to invest your last $2,000 than to have it parked with people who are diversifying your portfolio on your behalf and actively managing it, with far better resources than an amateur?
How does Soul Patts perform?
Of course, just because it's an investment company doesn't necessarily mean it provides excellent returns.
And while past performance is no indicator of how it will go in the future, Washington H Soul Pattinson shares have a pretty good track record over the decades.
Over the most recent five years, the share price has edged up a respectable 66%.
This is all while paying out a dividend yield of 2.5%.
That's an important feature of Washington Soul Pattinson. The stock is famous for having increased its annual dividends uninterrupted since the year 2000.
That's more than two decades of income growth.
The Motley Fool's Tristan Harrison is a fan of Soul Patts for its ability to produce passive income.
"The ASX 200 stock is invested in blue chip ASX shares, small cap ASX shares, private businesses, structured loans, and property. Expanding its farmland investments has been a key focus over the past year or two," he said.
"According to Commsec, by FY25 it could pay an annual dividend per share of 91 cents. That would be a grossed-up dividend yield of 4.1%."
