The return on investment of an asset largely depends on the risk of the asset, with lower-risk assets generally earning a higher return.

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The return on investment of an asset is not solely determined by the risk of the asset. Other factors such as market conditions, inflation, and management performance also play a role in determining the return on investment. Additionally, higher-risk assets may earn a higher return, but there is also a greater chance of losing money.

The Return on Investment of an Asset Largely Depends on the Risk