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Identify/define and explain the significance of the following: Henry the Navigator.
Liquidity
Liquidity describes the ease with which an asset, or security, can be converted into ready cash without affecting its market price.
Time Horizon
The length of time over which an investment is expected to be held before it is liquidated.
Risk Tolerance
An investor's capacity and willingness to endure market volatility and bear potential financial losses.
Return Requirements
The minimum expected rate of return on an investment, dictating the level of risk investors are willing to accept.
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