Final answer:
The investment strategy of a 30-year-old might differ from a 65-year-old based on their time horizon, risk tolerance, and retirement goals.
Step-by-step explanation:
The investment strategy of a 30-year-old might differ from a 65-year-old for several reasons. Firstly, a 30-year-old has a longer time horizon before retirement, allowing them to take on more risk and potentially earn higher returns. They can afford to invest in stocks, which have higher short-term volatility but historically provide higher returns over the long term. On the other hand, a 65-year-old who is near or in retirement may prioritize reduced risk and certainty about retirement income. They might opt for more conservative investments like bonds or a mix of stocks and bonds to preserve their wealth and generate stable income in retirement.