Final Answer
David is less risk-averse than Elias based on their varying attitudes towards risk in investments, with Elias displaying a higher aversion to risk..
Step-by-step explanation:
Elias's risk aversion is pronounced through his inclination to prioritize the preservation of capital over higher-risk, potentially higher-return investments. His cautious nature leads him to favor low-risk assets or investment options, even if they offer lower potential returns.
This approach reflects a desire to shield his investments from potential losses, indicating a higher level of risk aversion.
Conversely, David's comparatively lower risk aversion suggests a more balanced approach between risk and potential returns. While still considering risk factors, David may be more open to moderate or calculated risks in pursuit of higher potential gains.
His willingness to accept a certain level of risk demonstrates a more flexible attitude toward investment strategies compared to Elias.