QUESTION IMAGE
Question
3 there is always a risk that some or all of your investments in stocks and bonds could be lost.
true
false
Analyze the nature of market investments
Stocks represent equity ownership in a company, and bonds represent debt obligations. Neither asset class guarantees the preservation of principal, meaning market fluctuations, company bankruptcy, or issuer default can lead to partial or complete loss of the invested capital.
Evaluate the statement
The statement asserts that there is "ALWAYS a risk" of losing some or all of your investments in stocks and bonds. Because no market investment is entirely risk-free, this statement is factually correct.
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- True (Correct answer)
- False