Investors should be agreeing to invest in riskier investments merely
A. if return is short
B. if there are no safe alternatives except for holding cash
C. if expected return is adequate for risk level
D. if there are true speculators
Answer: Option C
Solution (By Examveda Team)
Investors should be agreeing to invest in riskier investments merely if expected return is adequate for risk level. High risk investments include equity investments, while moderate and low risk instruments include fixed income investment options like fixed deposits. One of the most important factors to consider while investing is your age. When it comes to investing, being young is an advantage.
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