QUESTION IMAGE
Question
quiz
question 5 of 6
your time horizon is ______________.
select a response.
your ability to comfortably pay all your bills
the same as your age.
how comfortable you feel taking the risk of losing your money.
how long you plan to keep your investments.
Brief Explanations
To determine the correct answer, we analyze each option:
- "your ability to comfortably pay all your bills" relates to financial stability or cash flow, not time horizon.
- "the same as your age" is incorrect as time horizon is about investment duration, not age.
- "how comfortable you feel taking the risk of losing your money" is risk tolerance, not time horizon.
- "how long you plan to keep your investments" matches the definition of time horizon in finance (the period an investor intends to hold an investment).
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how long you plan to keep your investments.