Which of the following statements are true based on the historical record for 1926-2016?
A) Risk-free securities produce a positive real rate of return each year.
B) Bonds are generally a safer, or less risky, investment than are stocks.
C) Risk and potential reward are inversely related.
D) The normal distribution curve for large-company stocks is narrower than the curve for small-company stocks.
E) Returns are more predictable over the short term than they are over the long term.

Question

Quizplus · Accepted Answer

Bonds are generally considered safer investments than stocks because they typically offer more stable returns and lower volatility.

Which of the Following Statements Are True Based on the Historical