Question
Different investors have different preferences.

Answer

  • Investors make different decisions and have different risk preferences when getting gains and losses.
  • Educated ones may opt for capital markets as compared to others who may invest in gold or silver.
  • Cautious investors are ready to have steady income rather than fluctuations.
  • Risk-takers are ready to face the ups and downs of their invested money and on their returns.
  • Active investors try to beat the market while passive track the market index.
  • Thus, it is rightly said, that the different investors have different choices and preferences.

Need a full question paper?

Generate a complete, print-ready paper with questions like this in minutes — across 16+ boards, with answer keys.

Start Generating Free