You have $10,000 to invest and would like to set these funds aside for retirement in 20 years. You should
A) put the money in a money market savings account.
B) buy a one-year CD.
C) buy stocks of relatively stable firms that have low risk.
D) invest in a diversified stock mutual fund.

Question

Quizplus · Accepted Answer

Investing in a diversified stock mutual fund is generally a good strategy for long-term growth, as it spreads risk across various stocks and sectors, potentially offering higher returns over a 20-year period compared to savings accounts or CDs.

You Have $10,000 to Invest and Would Like to Set