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Stocks vs Bank Deposits

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Questions and Answers

Which investment option has the potential for unlimited upside?

Bank deposits

Real estate

Bonds

Stocks (correct)

What is the disadvantage of investing in bank deposits?

Lower interest income (correct)

Riskiest of all assets

Unlimited upside potential

Settlement risk if the bank closes

What is the advantage of investing in stocks?

Higher interest income

Limited upside

Unlimited upside (correct)

Guaranteed returns

What is the disadvantage of investing in stocks?

<p>No guaranteed returns</p> Signup and view all the answers

What is the advantage of investing in bank deposits?

<p>Known income based on outstanding principal and current interest rate</p> Signup and view all the answers

Stocks vs Bank Deposits

Choose a study mode

Podcast

Questions and Answers

Which investment option has the potential for unlimited upside?

What is the disadvantage of investing in bank deposits?

What is the advantage of investing in stocks?

What is the disadvantage of investing in stocks?

What is the advantage of investing in bank deposits?

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