The Term Investment Horizon Refers to ________

question 38

Multiple Choice

The term investment horizon refers to ________.

• A) the proportion of short-term to long-term investments held in an investor's portfolio
• B) the planned liquidation date of an investment
• C) the average maturity date of investments held in a portfolio
• D) the maturity date of the longest investment in the portfolio

---

Definitions:

Confirmation Bias

The tendency to seek out information that conforms to one’s own definition of or solution to a problem.

Economic Person

A concept in economics and sociology that describes an individual who acts in a rational manner, making decisions based on maximizing personal financial gain.

Rational Decisions

Choices made based on logical reasoning, where alternatives are objectively evaluated based on facts and a clear understanding of goals.

Economic Gain

The benefit or profit derived from engaging in economic activities or investments.