Question

7 zina purchased a universal life insurance policy for which she has been paying higher premiums than the minimum required amount. zina has a low level of risk tolerance and she wants to make sure that her investment account does not reduce in value at any time. which of the following investment options meets zinas risk tolerance?
q1ducxwangqz9z9mv58jzktxa40t09
a. equity fund investments
b. index funds
c. mutual fund investments
d. guaranteed investment accounts
q1ducxwangqz9z9mv58jzktxa40t09

Explanation:

Zina has a low risk tolerance and wants an investment account that does not reduce in value. Guaranteed investment accounts (option d) are designed to protect the principal amount, meaning their value does not decrease, which aligns with low - risk tolerance. Equity funds (a) and index funds (b) as well as mutual fund investments (c) carry more risk and their value can fluctuate.

Answer:

d. Guaranteed investment accounts