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24 votes
24 votes
Which of these can you invest in without assuming any risk?

(1 point)

bonds

property

stocks

none

User Vipul Purohit
by
3.3k points

2 Answers

16 votes
16 votes

Final answer:

None of the listed options (bonds, property, stocks) can be invested in without assuming any risk. All investments carry some level of risk, and typically, higher potential rewards are associated with higher risks. Understanding risk and diversification is key to investing smartly.

Step-by-step explanation:

Investing in bonds, property, and stocks involves various levels of risk. When it comes to these options, none can be invested in without assuming any risk at all. Bank accounts typically offer the lowest risk but also the lowest returns. Bonds provide higher returns than bank accounts but carry a modest level of risk. Stocks carry the highest risk but also offer the potential for high returns. The degree of risk and potential return is a tradeoff that investors must consider.

Investors should know how much they can afford to risk and understand the types of investments that present low, medium, or high risks. Over time, stocks have shown a higher average return than bonds, and bonds generally yield more than savings accounts, which is a reflection of the risk-reward principle. To achieve a balanced investment strategy, many investors turn to diversification, which can help to minimize risks by spreading investments across different asset classes.

User Thoriya Prahalad
by
3.1k points
21 votes
21 votes

Answer:

none

Step-by-step explanation:

correct

User Tomasz Plaskota
by
2.8k points