Examlex
Identify and state the historical significance of the following:
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Spreading Investment Capital
The strategy of diversifying investments across different assets, industries, or geographic regions to reduce risk.
Exchange-Traded Funds
Trading vehicles that follow different stock indexes, such as the S&P 500.
Cost of Capital
The cost of capital refers to the return a company must earn on its investment projects to maintain its market value and satisfy its creditors and investors.
Rate of Return
A measure of the gain or loss on an investment relative to the amount of money invested.
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