If two investments have the same expected return, a rational investor will choose the investment with the greater risk in an effort to get a much larger return
Indicate whether the statement is true or false.
Answer: FALSE
Explanation: If two investments have the same expected return, a rational investor will choose the investment with the LESSER risk in an effort to minimize uncertainty.
Business
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Which jurisdictional data protection controls the ways that financial institutions deal with the private information of individuals?
A. Stored communications act (SCA) B. Health insurance portability and accountability act (HIPAA) C. Gramm-Leach-Bliley act (GLBA) D. Sarbanes-Oxley act (SOX)
Business
Which of the following is a forum in which suppliers and demanders of funds can transact business directly?
A) shadow banking system B) financial markets C) commercial banks D) financial institutions
Business