Why Do Investors Try To Achieve Higher Returns For Some Investments? Stocks have historically delivered higher returns than bonds because there is a greater risk that, if the company fails, all of the stockholders’ investment will be lost. However, a stock’s price will also rise in spite of this risk when the company performs well,
When It Comes To Saving Money What Is A Good Rule Of Thumb? Here’s a final rule of thumb you can consider: at least 20% of your income should go towards savings. More is fine; less may mean saving longer. At least 20% of your income should go towards savings. Meanwhile, another 50% (maximum) should
Which Of The Following Statements Regarding Risk Averse Investor Is True? D. They are willing to accept lower returns and high risk. … They only care about the rate of return and accept investments that are fair games. Risk-averse investors only accept risky investments that offer risk premiums over the risk-free rate. Which of the