John Hernandez is 24 and has saved enough money to fund an adequate emergency fund.In addition,he has saved $5,600 that can be used to fund an investment program.He is single,has no dependents,and would like to retire when he is 60.Which one of the investment factors listed below would be most important for an investor like Mr.Hernandez?
A)beta
B)income
C)growth
D)risk
E)liquidity

Question

Quizplus · Accepted Answer

Since Mr. Hernandez is young and unmarried with no dependents, he has a longer investment horizon and can afford to take on more risk. Therefore, the most important investment factor for him should be growth, as he has a long-term investment goal of retiring at 60. By investing in growth stocks, Mr. Hernandez can potentially maximize his return on investment over the long term, which can help him reach his retirement goals. The other investment factors, such as beta, income, risk, and liquidity, are important but are secondary to growth for someone in Mr. Hernandez's situation.

John Hernandez Is 24 and Has Saved Enough Money to Fund