Brenda Lee has received a $10,000 gift from her mother and is trying to decide how to invest it. She thinks she would like to invest it in stocks because she knows that stocks have been earning about a 10% rate of interest over the last several years. What aspect of investing is Brenda most concerned about?

Question

Business

Zachery Yang

29 June, 01:56

Brenda Lee has received a $10,000 gift from her mother and is trying to decide how to invest it. She thinks she would like to invest it in stocks because she knows that stocks have been earning about a 10% rate of interest over the last several years. What aspect of investing is Brenda most concerned about?

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Answers (2)

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Brendan Goodwin · Answer 1

Brenda is concerned about 'returns' while investing

Explanation:

Return refers to the benefits in financial terms that an investor enjoys from investing in stocks, mutual funds and other investments. Returns are earned in the form of interest or from change in price of the invested instrument.

Here, Brenda is concerned about the return aspect of investing which is evident from her choice of investment as she feels investing in stocks is beneficial as it yields higher returns.