laure3220713 laure3220713

03-06-2024
Business

Answered

Which of these investment types is considered moderate?
OIRA
tocks
Mutual fund
Money market account

Answer :

GinnyAnswer GinnyAnswer

03-06-2024

Final answer:

Mutual funds are moderate-risk investments offering diversification. Money market accounts are low risk with lower returns. Stocks are higher risk investments.

Explanation:

Mutual funds are considered moderate in terms of investment risk. They offer a diversified portfolio of assets such as stocks and bonds managed by professionals, providing a balance between risk and return.

Money market accounts typically offer lower returns than mutual funds but are also considered less risky. They invest in short-term, liquid securities like Treasury bills and commercial paper, making them a safer investment option.

Stocks, on the other hand, are generally considered higher risk investments due to their price volatility and dependence on market fluctuations for returns.

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