Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. answer in 200 words. explain the various sources o

Answer in 200 words. Explain the various sources of risk in an investment portfolio. In your opinion,...

70.2K

Verified Solution

Question

Finance

Answer in 200 words.

Explain the various sources of risk in an investmentportfolio. In your opinion, what can an investor do to manageportfolio risk efficiently?

Answer & Explanation Solved by verified expert
3.7 Ratings (459 Votes)
The various sources of risk affecting an investment portfolio is interest rate risk bond prices move inversely to interest rate changes The higher the interest rates bond prices fall and lower interest rates leads to higher bond prices Stocks are not much affected by changes in interest rates as the bonds are inflation risk inflation reduces the    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Transcribed Image Text

Answer in 200 words.Explain the various sources of risk in an investmentportfolio. In your opinion, what can an investor do to manageportfolio risk efficiently?

Other questions asked by students

Q

Describe four characteristics each of controlled and automatic processing. Explain how the characteristics differ between the...

Psychology
Q

give example for a static mathematical model?

Basic Math
Q

41-DECIUSBRUTUS: Pardorme, Caesar, for my dear dearloveTo our proceeding bids me telyou this;And reason to...

Biology
Q

84 1 97 7 Question 2 20 points The heights of adult women are normally...

Statistics
Q

2 26 Differentiate the function 2 g t ln 3 1 3 f x ln...

Calculus
Q

Write a polynomial function in standard form with real coefficients whose zeros include 2 6i...

Algebra
Q

Exercise 4(15 points) The Western Railway Company (WRC) has been offered...

Accounting
Q

Cmo funciona el modo What-If de BlockWorks Online? (Seleccione todas las que correspondan.) No...

Accounting
Q

T or F question. Explain why the answer is true or flase. Just answer it...

Accounting
Q

balace sheet of Daily Driver Incorporated

Accounting
Q

Prepare a projected monthly departmental budget for the first 3 months of operation of the...

Accounting
Q

A company issues 35000 shares at R1.10 at a 30% premium, Calculate the entry in...

Accounting