ECONOMICS
SAVING AND INVESTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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People close to retirement age
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Young people
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People who are meeting or exceeding their retirement goals
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People who have recently received an unexpected sum of money
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Detailed explanation-1: -An investor can take greater risk with investable assets when they have other, more stable sources of funds available. Additionally, investors with a larger portfolio may be more tolerant to risk, as the percentage of loss is much less in a larger portfolio when compared to a smaller portfolio.
Detailed explanation-2: -A good financial advisor will work with you to diversify your portfolio in the right way. They’ll help you vary your investments so that you’re not putting all your eggs in one basket, so to speak. While hedging is usually a more high-level financial strategy, it’s one that can significantly reduce risk as well.
Detailed explanation-3: -For example, certificates of deposit (CDs), money market accounts, municipal bonds and Treasury Inflation-Protected Securities (TIPS) are among the safest types of investments.
Detailed explanation-4: -High-yield savings accounts. Series I savings bonds. Short-term certificates of deposit. Money market funds. Treasury bills, notes, bonds and TIPS. Corporate bonds. Dividend-paying stocks. Preferred stocks. More items •01-Mar-2023