ECONOMICS
RISK AND RETURN
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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return
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savings
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low risk
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high risk
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Detailed explanation-1: -The return is the profit you make as a result of your investments. ROI is generally defined as the ratio of net profit over the total cost of the investment.
Detailed explanation-2: -Focus on What You Can Control You can help control the level of risk you take on, through asset allocation and diversification of your portfolio. You can control your emotions. Emotions do not do great things for investors, and it helps to have an objective financial advisor who has your best interests in mind.
Detailed explanation-3: -More than anything, early-stage business investors want to see a return on their investment (ROI). If you can demonstrate that your business will make them money, then you’re 90% of the way there. If your company has been up and running for a while, then you need to show excellent financial performance so far.