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Which of following would be considered the highest risk portfolio? |



The three most common risk portfolios are Conservative, Balanced and Aggressive. Each of these categories has a different goal: Conservatives want less volatility for the sake of long-term returns; balanced investors seek to maintain moderate growth with balance in their portfolio but prefer short term gains over future outlooks; aggressive investors have higher risks tolerance in order to reap large rewards from market swings that can make or break them.

The “which of the following is generally true about 401(k) and 403(b) retirement plans?” is a question that one might ask when considering which of the two to choose. Generally, a 401(k) plan has lower risk than a 403(b) plan.

Which of following would be considered the highest risk portfolio? |

Which of the following portfolios would be regarded the most risky? 60 percent equities, 30 percent mutual funds, and 10% Treasury bonds make up this portfolio. What is the average connection between risk and return when it comes to investing? The higher the possible gain, the higher the potential risk.

So, which sort of investment carries the least amount of risk?


  • Savings account with a high yield. This is without a doubt the safest “investment” you can make.
  • Bonds for Savings.
  • Deposit Certificate (CD)
  • ETFs (Exchange Traded Funds) are a kind of mutual (ETF)
  • Stocks that pay dividends.

Why is a high-quality relationship sometimes referred to as a quizlet? Why is a high-quality bond regarded to be a safer investment than a stock? Each year, a bond pays a defined, predictable amount of interest. 60 percent equities, 30 percent mutual funds, and 10% Treasury bonds make up this portfolio.

People often wonder why a municipality would elect to issue bonds A.

Bonds are loans to the corporation, but stocks enable investors to acquire a piece of the company.

When you purchase a ____, are you lending money to a charity?

When you purchase a bond, you are essentially lending money to a company. Bonds are a kind of debt in which the investor owes money to a third party, generally the government or a company.

Answers to Related Questions

What does it imply to say that an investment is volatile?

Simply explained, volatility refers to the range of price changes an investment has over a certain time period. The security has minimal volatility if the price remains generally constant. A security that is extremely volatile makes new highs and lows often, moves unpredictably, and has fast rises and severe drops.

What is the best way for investors to get compounding returns?

The majority of mutual funds do not pay out payments (dividends) to investors, instead reinvesting them in additional underlying shares. There are two advantages. The fund earns compounding returns by acquiring more and more shares with each dividend by reinvesting.

What is the 9th module of the dividends quizlet?

What are dividends, exactly? A little portion of earnings is distributed to shareholders. It assists you in balancing your risk across various investment kinds. The higher the possible gain, the higher the potential risk.

What is a mutual fund and how does it work?

A mutual fund is a corporation that collects money from several investors and invests it in stocks, bonds, and short-term loans. The portfolio of a mutual fund is made up of all of the fund’s holdings. Mutual funds are purchased by investors.

What is the common consensus on 401(k) and 403(b) retirement plans?

Employer-sponsored 401k and 403b retirement plans enable workers to take money from their paychecks, deposit it in a retirement account, and receive tax-deferred interest. The term “tax-deferred” refers to the fact that the money you save is not taxed until you withdraw it at the age of 65 or later.

When a bond is due, what happens?

When a bond is due, what happens? The issuer will pay you back, plus interest. A bond typically pays a fixed, predictable amount of interest each year.

Which of the following distinguishes stocks from bonds?

The distinction between stocks and bonds is that stocks are shares in a company’s ownership, but bonds are a kind of debt that the issuing organization commits to return at a later date. Investors will be ready to pay less for a bond if it has a delayed payment or cancellation clause.

Bonds are used in finance in a variety of ways.

Bonds are loans, or IOUs, in which you play the role of the bank. You lend money to a firm, a city, or the government, and they commit to repay you in full, plus interest, on a regular basis. A city may sell bonds to obtain funds for a bridge, while the federal government may issue bonds to pay for its mounting debt.

Which of the following investments is considered diversified?

Explanation: Diversified investments include index funds and mutual funds. It implies that mutual funds have a fund manager who chooses the equities that will be included in the portfolio by hand. A portfolio of assets intended to replicate the price movement of a financial market index is known as an index fund.

Everfi, when is the greatest time to begin saving for retirement?

When you first leave school and begin earning income, the best time to start saving for retirement is when you are in your 20s. That’s because the sooner you start saving, the longer your money has to grow.

Which of these investing options is the riskiest?

The Top 16 Low-Risk High-Return Investments:

  • LendingClub.
  • Fundrise.
  • Treasury Inflation-Protected Securities (TIPS) are a kind of inflation-protected (TIPS)
  • Account for Savings.
  • Stocks That Pay Dividends (medium risk)
  • Deposit Certificate.
  • Bonuses from banks.
  • Bonds issued by corporations.

What is an Everfi mutual fund?

A bond issued by the government of a state, county, or city. Mutual Funds are a kind of investment vehicle. A fund that combines several people’s investments and invests them in a range of stocks, bonds, and other financial assets. Index Fund is a kind of mutual fund that invests in Designed to monitor the market’s general performance, as well as the performance of specific investment kinds or groupings of companies.

What is the typical risk-reward relationship when it comes to investing?

The risk-return tradeoff is the relationship between the risks one faces while investing and the performance of such assets. According to the risk-reward tradeoff, the greater the risk, the greater the reward—and vice versa.

What are stocks, according to investopedia?

A stock (sometimes referred to as “shares” or “equity”) is a form of instrument that represents proportional ownership in the issuing company. The investor is entitled to that percentage of the corporation’s assets and profits.

What may be the motivation for a firm to sell its stock?

A corporation could sell shares to help grow its business, employ more workers, and create new technologies, for example. Businesses will sell shares in order to increase cash on hand, which can then be used to support other initiatives inside the firm.

What is the definition of a stock market dividend?

A dividend is a payment that a firm makes to its shareholders. Typically, these payments are given in cash (referred to as “cash dividends”), but firms may also issue stock dividends, which include the distribution of extra stock shares to shareholders. Stock splits are another term for stock dividends.

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