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Worksheets[Synchronous] Activity 1
Total questions: 10
Worksheet time: 4mins
____shows how much profit you make from an investment.
Risk
Return on investment
Portfolio
Dividend
It is the chance that you might lose some or all of your money.
Liquidity
Asset Allocation
Diversification
Risk
What does Return on Investment (ROI) measure?
The total amount of money invested
The risk of an investment
The profit made from an investment
The diversity of investments
If you invest PHP2,000 in a stock and later sell it for PHP2,500, what is your ROI?
20%
25%
50%
75%
Which investment strategy involves spreading your money across various types of assets to reduce risk?
Asset Allocation
Risk Management
Diversification
Liquidity Management
What is meant by 'Liquidity' in investing?
The total value of your investment portfolio
The risk associated with an investment
How easily you can convert an investment into cash without losing value
The amount of profit you earn from an investment
Define a 'Bull Market.'
A period when asset prices are falling
A period when asset prices are rising
A period of high investment risk
A period of low investment risk
In the context of investing, what does 'Asset Allocation' involve?
Deciding how to spread your money among different types of investments
Measuring the risk associated with an investment
Calculating the ROI of an investment
Spreading investments across different sectors
What interaction is observed between Asset Allocation and Risk Management?
Asset Allocation determines how much risk you are willing to take
Risk Management focuses only on stocks
Asset Allocation and Risk Management are unrelated
Asset Allocation is used to avoid diversification
How does diversification help manage investment risk?
It increases the potential return of investments
It concentrates investments in a single asset class
It reduces the risk by spreading investments across different assets
It eliminates all risks associated with investments
