Fin533

What does "Diversification" in investing mean?

• Putting all the money into stock

• Spreading investments across different assets

• Investing only in foreign markets

• Keeping all money in savings

If a stock's price goes from RM20 to RM25, what is the percentage gain?

• 15%

• 22%

• 20%

• 25%

Which investment type generally carries the highest risk but also potential highest return

• Bonds

• Savings accounts

• Fixed deposit

• Stocks

What does a credit score represent?

• The amount of money in your bank account

• Your ability to repay borrowed money

• The interest rate on your loan

• Your income level

If you pay only the minimum balance on your credit card every month, what will happen?

• You avoid all interest charges

• You still pay interest on the remaining balance

• Your credit score improves quickly

• Your debt disappears faster

Which factor has the biggest impact on your credit score?

• Length of credit history

• Payment history

• Types of credit used

• Number of recent inquiries

What is the main purpose of a retirement plan?

• To borrow money for education

• To save and invest for financial security in old age

• To pay off credit card bills

• To buy a house

If you start saving RM500 per month at your age 25, instead of waiting until age 35, what's the main benefit?

• Lower risk

• Your pay fewer taxes

• You get higher interest rates

• Higher total savings due to compound interest

If Malaysia, what is the minimum withdrawal age for *EPF (Employees Provident Fund) savings?

• 50

• 55

• 60

• 65