Twenty-six-year-old Lisa Lamont became an investor one day after a friend explained that there was a much better way to make her money work for her than by letting it sit in a savings account earning a very low rate of interest.Lisa decided to withdraw $10,000 from her savings account and invest it in stocks.She wanted to invest it in such a way as to minimize her risk.Which one of the following strategies makes the MOST sense for a new investor like Lisa?
A) Invest all $10,000 in a small fast-growing computer company.
B) Invest $5,000 in a gold mining company and $5,000 in a silver mine.
C) Invest the $10,000 in four different home builders.
D) Invest $10,000 in ten different oil companies.
E) Invest $10,000 in a large-cap mutual fund.
Correct Answer:
Verified
Q43: Javier wants to invest,but wants to reduce
Q44: What is a stock's market value?
A) the
Q45: The stock of Simonsen,Inc.is being bought up
Q46: Don Dillon is a 24-year-old graphic designer.He
Q47: Which of the following allows after-hours trading
Q49: Which of the following is a function
Q50: Which stock exchange has the highest volume
Q51: What is the term for the proportion
Q52: Which of the following is an electronic
Q53: What is the term for buying several
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents