Anthony Edwards Wants to Diversify His Portfolio by Adding a Stock

question 19

Multiple Choice

Anthony Edwards wants to diversify his portfolio by adding a stock that maintains a stable value when the economy declines. What type of stock does Anthony want to add to his portfolio?

• A) Defensive stock
• B) Cyclical stock
• C) Small-cap stock
• D) Blue-chip stock
• E) Growth stock

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Definitions:

Financially Well Off

Having sufficient wealth to live at a standard of comfort and security without financial struggles.

Better Job

A position that offers improved conditions, benefits, pay, or satisfaction compared to one's current or past employment.

Stereotype Threat

The risk of confirming negative stereotypes about an individual's racial, ethnic, gender, or cultural group.

Grammatical Skills

The ability to use language correctly according to the rules of syntax, morphology, phonology, and punctuation.