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Risk and Return Please respond to the following: Determine whether stock prices are affected more by long-term or short-term...

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Finance

Risk and Return

Please respond to thefollowing:

  • Determine whether stock pricesare affected more by long-term or short-term performance. Provideone example of the effect that supports your claim.

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Stock prices rise and fall in both the short and long term However in short term the stock prices tend to be more volatile leading to considerable fluctuations In the long term the stock prices smooth themselves out and the effect of volatility minimizes The reasons behind the fluctuations of stock prices are the market forces    See Answer
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Transcribed Image Text

Risk and ReturnPlease respond to thefollowing:Determine whether stock pricesare affected more by long-term or short-term performance. Provideone example of the effect that supports your claim.

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