Principle 8,Risk and Return Go Hand in Hand,tells Us That

question 134

Multiple Choice

Principle 8,Risk and Return go hand in hand,tells us that you ________ as the length of the investment horizon ________.

• A)can afford to take on additional risk;increases
• B)can afford to take on additional risk;decreases
• C)cannot afford not to take on additional risk;shortens
• D)cannot afford to take on additional risk;increases

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Definitions:

Opinions

Personal views, judgments, or beliefs about a particular topic, which can vary widely between individuals.

Formal Reasoning

The ability to think logically and systematically about abstract concepts and hypothetical situations, typically developing during adolescence.

Nonconscious Responding

Processes that occur without conscious awareness or control, including physiological responses and some behaviors that are automatic or habitual.

"Reasonable."

Being in accordance with logic, fairness, or moderate estimation; often used to describe actions or thoughts that are justified under the circumstances.