Question 11 of 20
The main function of a low-risk investment is to:
A. make a variety of investments to balance risk and reward,
B. make sure that an investment does not lose money.
C. quickly earn as much return on investment as possible.
D. protect an investment from government fees and taxes.
SUBMIT

By nature, with low risk investment making an investment, there may be much less at stake—both in terms of the quantity invested or the importance of the funding to the portfolio.

There is likewise much less to gain—both in terms of the capability to go back or the capability advantage in the longer term.

Low-risk making an investment is no longer the best approach to protect against the hazard of any loss, but it additionally approaches to ensure that not one of the capability losses could be devastating.

If traders are given the belief that funding hazard is described by means of a lack of capital and/or under-overall performance relative to expectations.

It makes defining low-hazard and high-hazard investments significantly easier.

So from the above announcement, it's clear that alternative B, making certain that the funding does no longer lose money, is the appropriate answer.

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