ECONOMICS (CBSE/UGC NET)

ECONOMICS

SAVING AND INVESTING

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
A young investor willing to take moderate risk for above-average growth would be most interested in:
A
Real estate
B
Bonds
C
Single stocks
D
Mutual funds
Explanation: 

Detailed explanation-1: -Money market funds, savings accounts, and short-term CDs can all provide safety and liquidity for your idle cash. The amount you keep in these investments will depend on your personal financial situation, but most experts recommend keeping enough to cover at least three to six months of living expenses.

Detailed explanation-2: -A moderate portfolio (medium-risk), allows you to experiment with different types of investments while also putting some of your money in safer funds. For a moderate-risk portfolio, you’ll want a combination of 40-60% risky investments (like stocks) and 40-60% of safer investments (like bonds).

Detailed explanation-3: -When investing, the higher the risk you are willing to take the less return you can expect.

Detailed explanation-4: -Crowdfunded Real Estate – Fundrise. Dividend-Paying Stocks. Corporate Bonds. Municipal Bonds. Preferred Stocks. 01-Feb-2023

There is 1 question to complete.