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Which of these savings/investing options has the highest risk

US GOVERNMENT BONDS
MONEY MARKET ACC.
SAVINGS
STOCKS

User Warisara
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1 Answer

6 votes

Answer:

STOCKS

Step-by-step explanation:

US government bond is a government security, therefore the government print more money to pay those who invest in it.

In addition bondholders are creditors of a corporation.

Stockholders, are part owners of a company. In case of bankruptcy, bondholders are given priority.

Savings accounts are protected by the Federal Deposit Insurance Corporation (FDIC) provisions.

Money market accounts are a safe investment because they are insured by the FDIC.

Therefore the investment option that has the highest risk is stocks.

User Lianne
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