Question

30 points to the winnerSelect the true statement about risk when investing. Only people who have more than $100,000 in a savings account should invest in the riskier investments. Typically, the higher the risk, the higher the potential for return. Typically, the lower the risk, the higher the potential for return. Collectibles are the least risky

Answer 1

The true statement about the risk when investing is "typically, the higher the risk, the higher the potential for return".

The term risk in investment is used for describing the possibility of an occurring difference between the actual return and the expected return on an investment.

A higher risk means that you have a high possibility of gaining more or less from your expected return on your investment.