Maury currently invests in medium-quality preferred stock.What type of investment would you recommend to Maury if he says he wants to move up one notch in risk?

Question

Quizplus · Accepted Answer

High-quality, cyclical common stocks are generally considered one notch riskier than medium-quality preferred stocks, as they can offer higher returns but are more sensitive to economic cycles.

Maury Currently Invests in Medium-Quality Preferred Stock