EPF unit 6 Test

Front

What is the benefit of investing your money vs putting it in a savings account?

Back

Higher potential returns

Front

What is the risk of investing your money vs a savings account?

Back

Higher risk of loss

Front

What happens if your portfolio is not risky enough?

Back

You may not reach your investment goals.

Front

What happens if your portfolio is too risky?

Back

You may give up due to taking losses.

Front

What is a benefit of investing in a mutual fund?

Back

Professional management

Front

What does it mean to diversify your portfolio?

Back

Spreading investments across various assets

Front

ownership in a company

Back

Stocks

Front

IOUs from a business or the Government

Back

Bonds

Front

one pro of investing in stocks

Back

Potential for high returns.

Front

one con in investing in stocks

Back

Market volatility can lead to financial loss.