18 Questions
What is a characteristic of Hedge Funds?
Can invest in derivatives, making them complex
Which type of investors are typically eligible for Hedge Funds?
High-net-worth individuals and institutions
What is an analogy used to describe Exchange-Traded Funds (ETFs) in the text?
Mixed baskets of chocolates
What type of investment do ETFs represent?
Diversified investment fund
Which investment asset is described as a 'Tangible treasure' in the text?
Gold
What is the relationship between risk and return in investments?
High risk is always associated with high returns.
In the context of Government Sponsored Accounts, what is the purpose of Atal Pension Yojana?
Post-Retirement benefits for organized sector workers
Which investment avenue is characterized as unstable but with a chance of high returns?
Equities (stocks)
What type of funds pool money from many investors for securities investment and are professionally managed?
Equity funds
Which of the following is NOT a consideration in portfolio management?
Legal restrictions on investments
What is a common restriction for mutual funds in India?
Investing in derivatives
In terms of risk and return, what can be expected from bonds?
Low risk, low return
What is the minimum deposit required for a Public Provident Fund (PPF) investment?
₹500
What does diversification aim to achieve in an investment portfolio?
Limit exposure to one type of asset
Why are small savings mobilized through the Public Provident Fund (PPF)?
Reasonable returns offered
What is the main purpose of asset allocation in investments?
Select assets from different classes for diversification
How much is charged for monthly premiums exceeding ₹1,000?
$10
What impact does spreading investments have on portfolio volatility over time?
Reduces volatility
Learn about investment underperformance, financial loss, risk-return relationship, portfolio management, and balancing risk and return in this module. Understand how high-risk investments offer the potential for high rewards.
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