Respuesta :
The interest rate and the expected rate of return will play a role in influencing U.S. households' selection of a particular investment type.
Give a brief account on investment.
Investing is the practice of paying for something with the hope that its worth will increase over time. Giving up something present, like time, money, or effort, is necessary for investment. To create a return from the invested asset is the goal of investing in finance. The return could be made up of a profit (gain) or loss (loss) from the sale of a home or investment, unrealized capital gains (or losses), investment income like dividends, rental income, interest or a mixture of income and capital gains. Depending on how the foreign exchange rates have changed, the return may also include currency gains or losses.
Higher predicted profits for investors are often associated with riskier enterprises. The return is typically minimal when making a low-risk investment. The likelihood of high losses is similar to that of high risk. Diversifying one's portfolio is frequently advisable for investors, especially newcomers. According to statistics, diversification lowers total risk.
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