Understanding Investment Concepts

Front

Investment in financial terms means:

Back

Commitment of funds for future return

Front

Investment generally involves:

Back

Risk and Return

Front

Which of the following is a real asset investment? Bonds, Machinery, Shares, Debentures

Back

Machinery

Front

How is investment different from saving?

Back

Investment deploys money to earn income.

Front

Why do investors require a risk premium?

Back

To compensate for uncertainty and risk

Front

Which is a traditional investment avenue? Options: Equity Shares, Bank Fixed Deposits, Derivatives, Cryptocurrency

Back

Bank Fixed Deposits

Front

Mutual funds are best described as:

Back

A pool of money managed by professionals

Front

Which investment avenue provides ownership rights in a company?

Back

Equity Shares

Front

Real estate is considered a: Financial Asset, Real Asset, Virtual Asset, Liquid Asset

Back

Real Asset

Front

Gold is often regarded as a hedge against: Liquidity risk, Inflation, Deflation, Exchange rate risk

Back

Inflation