Which of the following statements regarding risk in investing is most correct?
A)Avoiding risk is the best strategy to accumulate wealth.
B)It is most important to avoid risk during the early years,up to age 54.
C)It is hard to achieve a positive real return by avoiding risk all together.
D)Trying to avoid risk is an exercise in futility.

Question

Quizplus · Accepted Answer

While avoiding risk may seem like a safe option, it also limits potential returns. In order to achieve a positive real return, some level of risk-taking is necessary. However, it is important to balance risk with personal financial goals and tolerance for volatility.

Which of the Following Statements Regarding Risk in Investing Is