ECONOMICS (CBSE/UGC NET)

ECONOMICS

FINANCIAL MARKETS

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Which best describes an investor’s primary goal?
A
to earn a profit
B
to lose a profit
C
Either A or B
D
None of the above
Explanation: 

Detailed explanation-1: -An investor is an individual that puts money into an entity such as a business for a financial return. The main goal of any investor is to minimize risk and maximize return.

Detailed explanation-2: -The primary goal of an investor is to maximize potential financial returns while minimizing risks.

Detailed explanation-3: -An investor makes money by earning interest.

Detailed explanation-4: -Investment income is the profit earned from investments such as real estate and stock sales. Dividends from bonds also are investment income. Investment income is taxed at a different rate than earned income. The profits from the sale of gold coins or fine wine could be considered investment income.

Detailed explanation-5: -The three types of investors in a business are pre-investors, passive investors, and active investors. Pre-investors are those that are not professional investors.

There is 1 question to complete.