ECONOMICS
BUDGETING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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intermediate-term time horizon.
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short-term time horizon.
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long-term time horizon.
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risk-tolerant time horizon.
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Detailed explanation-1: -Intermediate-term goals are those five to 10 years in the future. Some exposure to stocks and bonds will help grow the initial investment’s value, and the amount of time until the money is spent is far enough in the future to permit a degree of volatility.
Detailed explanation-2: -Time horizons are periods where investments are held until they are needed. Time horizons vary according to the investment goal, short or long. Time horizons also vary according to the time by which you begin investing. The longer the time horizon, the longer the power of compounding has to work.
Detailed explanation-3: -Safety, income, and capital gains are the big three objectives of investing. But there are others that should be kept in mind when they choose investments.
Detailed explanation-4: -Liquid Funds. Liquid funds are a type of mutual fund that invests money in government securities and deposits. Short Term Funds. Savings Account. Recurring Deposits. Fixed Maturity Plans. ULIP Plans.