Which of the following is an example of investment risk in financial planning?
A)Loss of income due to short-term disability
B)Loss of liquidity by locking in to a fixed-term deposit
C)Loss of property by not buying insurance
D)Loss of capital in a particular mutual fund

Question

Quizplus · Accepted Answer

Loss of capital in a particular mutual fund is an example of investment risk as there is no guarantee that the investor will receive a return on their investment and they may lose some or all of their capital.

Which of the Following Is an Example of Investment Risk