What Is An Investor’S Primary Goal?

What is the safest investment with the highest return?

Investment #1: High-Yield Savings Account.Investment #2: Certificates of Deposit (CDs)Investment #3: High-Yield Money Market Accounts.Investment #4: Treasury Securities.Investment #5: Government Bond Funds.Investment #6: Municipal Bond Funds.Investment #7: Short-Term Corporate Bond Funds.More items…•.

How can I double my money in one year?

The Classic Way—Earning It Slowly The rule of 72 is a famous shortcut for calculating how long it will take for an investment to double if its growth compounds. Just divide 72 by your expected annual rate. The result is the number of years it will take to double your money.

What is capital strategy?

A capital growth strategy seeks to maximize capital appreciation of an investment portfolio over the long term through an asset allocation geared to securities with high expected returns.

Which statement best describes how an investor makes money off debt?

Which statement best describes how an investor makes money off debt? An investor makes money by issuing bonds. An investor makes money by earning interest.

Which is an example of a high risk investment?

Crypto assets include cryptocurrencies, blockchain companies, cryptocurrency funds, and initial coin offerings (ICOs). In recent years, certain crypto assets have generated a lot of interest from investors and the financial media. These products are considered high-risk because of their speculative nature.

Are the buying and selling of stocks centralized activities?

Are the buying and selling of stocks centralized activities? … No, there are many stock markets around the world, and they are independent of one another.

Which are most likely uses of capital invested in a business?

There are typically three main reasons for a business to make capital investments: To acquire additional capital assets for expansion, enabling the business to, for example, increase unit production, create new products, or add value.

How does an investor make money off debt?

There are two ways that investors make money from bonds. The individual investor buys bonds directly, with the aim of holding them until they mature in order to profit from the interest they earn. They may also buy into a bond mutual fund or a bond exchange-traded fund (ETF).

Which best describes the role that government and business play in investments they both use taxes to support a country’s growth?

Which best describes the role that government and business play in investments? They both use taxes to support a country’s growth. They both invest money to earn a profit.

What is the riskiest investment?

Bonds / Fixed Income Investments include bonds and bond mutual funds. … Stocks / Equity Investments include stocks and stock mutual funds. These investments are considered the riskiest of the three major asset classes, but they also offer the greatest potential for high returns.

What are the three types of capital?

Businesses will typically focus on three types of business capital: working capital, equity capital, and debt capital.

What are some examples of capital investment?

14 Examples of Capital InvestmentLand & Buildings. The purchase of land and buildings for your business.Construction. Any costs that go into constructing a building or structure is a capital investment.Landscaping. Productive changes to land such as an irrigation system for a farm.Improvements. … Furniture & Fixtures. … Infrastructure. … Machines. … Computing.More items…•