Emily is a 35 -year-old investor with a high risk tolerance. She is considering two investments: a technology-focused mutual fund and a government bond. Which option aligns better with her risk tolerance and why? Both, because they balance each other Neither, because she should avoid risk entirely Government bond, because it is safe Technology-focused mutual fund because it offers higher growth potential

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Emily is a 35 -year-old investor with a high risk tolerance. She is considering two investments: a technology-focused mutual fund and a government bond. Which option aligns better with her risk tolerance and why? Both, because they balance each other Neither, because she should avoid risk entirely Government bond, because it is safe Technology-focused mutual fund because it offers higher growth potential

Answer 1

Technology-focused mutual fund because it offers higher growth potential.Given that Emily has a high risk tolerance, the technology-focused mutual fund aligns better with her preferences. This type of investment typically offers higher growth potential compared to government bonds, which are considered safer but offer lower returns.

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