Which of the Following Would Not Make Up a Major

question 24

Multiple Choice

Which of the following would not make up a major proportion of a superannuation fund investment portfolio?

• A) commercial paper
• B) long-term corporate bonds
• C) shares
• D) none of the above

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Definitions:

Investment

The commitment of resources such as capital or time to an endeavor with the expectation of obtaining an income or profit.

Percentage Total Return

A measure of the performance of an investment, calculated by dividing the investment's profit by its initial cost.

Dividends

Payments made by a corporation to its shareholder members, usually derived from profits.

Capital Gains Yield

The appreciation in the price of an investment, calculated as the increase in the investment's value divided by its initial purchase price.