Wch type of portfolio might a young investor who is not afraid of risk choose?
Answers
Answered by
0
Since the options are not given, I am giving an answer based on the options given on another website for a similar question.
The correct answer could be - A portfolio with a higher percentage of stocks.
In general, value stocks have provided more profits and returns when compared to mutual funds and other types of investments. However, according to theoretical analysis, there is always a high risk associated as the stock market is very unpredictable and the value of the stocks may fall anytime. So, the higher returns are always accompanied by higher risk value.
The correct answer could be - A portfolio with a higher percentage of stocks.
In general, value stocks have provided more profits and returns when compared to mutual funds and other types of investments. However, according to theoretical analysis, there is always a high risk associated as the stock market is very unpredictable and the value of the stocks may fall anytime. So, the higher returns are always accompanied by higher risk value.
Answered by
0
Since the option is not given, I'm giving the answer: A portfolio with a higher percentage of stocks. There is no perfect or optimal percentage of stocks to have in your portfolio. However, there are several “rules of thumb“. One common rule of thumb is (100-age). For example, if you are 30 years old, you should have 70% stocks.
Similar questions