Risks associated with owning an investment in a company's stock include the risk that ________.

Question

Quizplus · Accepted Answer

Owning a company's stock carries the risk that the company will not be successful, and therefore the stock may not increase in value or pay out dividends. Choices B and C are not necessarily risks associated with owning stock, as buying back stock is a decision made by the company and interest payments are not always made to shareholders. Choice D is not a risk, but rather a strategy for managing risk.

Risks Associated with Owning an Investment in a Company's Stock