Answer to Question #305922 in Finance for Kelsey Jand

Question

Question - Risk and Risk Avoidance

Prompt: In investments, a higher risk may provide higher returns. It is interesting how people have different comfort levels taking risks. Please consider your own comfort with taking risks; are you a person who is willing to take a risk in order to earn a higher level of return on investment? 

Instructions: Answer this prompt with a comprehensive response that includes reasons for the yes or no prompt.

Context Link: https://saylordotorg.github.io/text_personal-finance/s08-evaluating-choices-time-risk-a.html

Extra Directions: Respond to this prompt as if you were a sixteen-year-old in high school as a sophomore.

Answer 1

I would consider taking high risks on the investments because always high risks on the investment earns good returns faster than when when you incur low risks on the investments. Since I would want to be rich faster, I would prefer taking high risk investments so that I can multiply my investments faster.