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Which of the Following Is the Process of Spreading Your

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Which of the following is the process of spreading your money among several different types of investments to lessen risk?


Definitions:

Stock and Bond Markets

Financial markets where shares of publicly held companies are issued and traded, and where debt securities are bought and sold.

Rates of Return

A measure of the profit or loss of an investment over a specified period, usually expressed as a percentage of the initial investment.

Equity Returns

The profit or loss generated on an investment in equity, represented as a percentage of the investment's initial cost.

Interest

The charge for borrowing money, typically expressed as an annual percentage rate.

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