Which of the following statements is true?
A) When establishing an investment program, you should begin by monitoring your investments.
B) When you are choosing an investment, you should examine only the interest rate risk factor associated with each investment.
C) When establishing an investment program, you should examine the potential return offered by different investment alternatives.
D) Leave the financial planning to the professionals.
E) There is no need to monitor your investments after you have made your investment decision.

Question

Quizplus · Accepted Answer

When establishing an investment program, it is important to examine the potential return offered by different investment alternatives. Interest rate risk is one of several factors that should be considered when choosing an investment, but it is not the only factor. Additionally, it is important to monitor your investments after you have made your investment decisions to ensure that they continue to align with your financial goals and to make any necessary adjustments based on changes in the market or your personal circumstances. Leaving financial planning solely to professionals is not recommended as it is important for individuals to understand and be involved in their own financial planning.

Which of the Following Statements Is True