Question

Which of the following best explains why some people invest their savings in

the stock market and others put their savings in bank accounts?
A. People with too much credit card debt cannot make investments.
B. Not everyone knows that savings accounts are insured by the government
C. Not every company has stock that can be purchased in the stock
market.
D. Some people feel that the stock market is too risky for them.

Answer 1

Some people feel that the stock market is too risky for them

Answer 2

Your question asks which explanation best explains why people put their money in their savings account instead of the stock market.

Your best answer would be D). Some people feel that the stock market is too risky for them.

The reason why answer choice D is the correct answer is because people believe that the stock market is risky with their money. They feel that it's risky because of the fact that the values of stocks are always changing, and there could be a chance that the stocks that they purchase to decrease in value, which leads them into losing money. They believe that nothing is going to happen to their money in a savings account, since they want to conserve their money, they rather put it in a savings account than risking the chance of losing money from stocks.