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26 May, 10:51

Arrange the investment in order from the highest risk and return potential to the lowest risk and return potential

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  1. 26 May, 11:10
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    The order from the least risky to the most risky investment is:

    B. Bonds

    A. Property

    D. Mutual funds

    C. Starting a business

    Step-by-step explanation:

    Before arranging these types of investments in the required order, let us take a quick check at what they are.

    A. Property: These types of investments are the most profitable. They include investments in buildings (apartments, houses, etc).

    They are the most volatile and profitable class of investment.

    B. Bonds: These are lending investments (loans) in exchange for interest payments that are periodic, and Return of bond's face amount from issuer.

    C. Starting a business:

    This can not be referred to as an investment. It is a process that requires investment to be achieved.

    D. Mutual funds:

    These are kinds of investment funds from many investors, gathered for the purpose of investing in securities such as bonds, stocks, and so on.

    The order from the least risky to the most risky investment is:

    B. Bonds

    A. Property

    D. Mutual funds

    C. Starting a business
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