ECONOMICS
SAVING AND INVESTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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high interest rate
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low interest rate
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Either A or B
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None of the above
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Detailed explanation-1: -“If interest rates move higher, stock investors become more reluctant to bid up stock prices because the value of future earnings looks less attractive versus bonds that pay more competitive yields today, ” says Rob Haworth, senior investment strategy director at U.S. Bank Wealth Management.
Detailed explanation-2: -Bank Fixed Deposit (FD) Bank FDs offer a much higher rate of interest than a regular savings bank account. Investments in 5-year tax-saving FDs are covered under Section 80C of the Income Tax Act, 1961, and investors can deduct up to Rs 1, 50, 000 a year by investing in this.
Detailed explanation-3: -High-yield savings accounts. Overview: A high-yield online savings account pays you interest on your cash balance. Short-term certificates of deposit. Series I bonds. Short-term corporate bond funds. Dividend stock funds. Value stock funds. REIT index funds. S&P 500 index funds. More items •01-Jan-2023
Detailed explanation-4: -Switch to a high-interest savings account. Consider a rewards checking account. Take advantage of bank bonuses. Try a money market account. Check with your local credit union. Consider certificates of deposit. Build a CD ladder. Consider buying bonds. More items •16-Dec-2022