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Which of the following investment options are examples for investments in financial assets referred to as securities? (Choose all that apply.)

a) Stocks
b) Bonds
c) Mutual funds
d) Real estate

User Hadee
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1 Answer

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Final answer:

Stocks, bonds, and mutual funds are examples of investments in financial assets referred to as securities. Real estate is not considered a financial asset referred to as a security.

Step-by-step explanation:

Securities are financial assets that can be bought and sold in financial markets. Examples of investments in financial assets referred to as securities include:

  • Stocks: Stocks represent ownership in a company and can be bought and sold on stock exchanges.
  • Bonds: Bonds are debt securities where an investor lends money to a company or government in exchange for regular interest payments and the return of the principal amount at maturity.
  • Mutual funds: Mutual funds pool money from multiple investors and invest in a diversified portfolio of stocks, bonds, or other financial instruments.

Real estate, on the other hand, is not considered a financial asset referred to as a security. It is a tangible asset that can be bought and sold, but it is not traded on financial markets like stocks and bonds.

User Glenn Jackman
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