ENTREPRENEURIAL PLANNING
FINANCIAL PLANNING AND ANALYSIS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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The following statements are true regarding ways to minimize risk EXCEPT
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Spread your portfolio into several investment asset
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Choosing different investments with different risk
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Search bonds that have different discount rate and maturity
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Choose investment with a higher interest rate
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Explanation:
Detailed explanation-1: -Stocks, bonds, and mutual funds are the most common investment products. All have higher risks and potentially higher returns than savings products. Over many decades, the investment that has provided the highest average rate of return has been stocks.
Detailed explanation-2: -Which of the following statements regarding risk-averse investors is true? They only accept risky investments that offer risk premiums over the risk-free rate.
There is 1 question to complete.