What are the different ways you can invest? It is important to define your investment goals because it will help you in creating an investment plan. Your investment plan specifies where your capital will be invested and what investment vehicies you will use. To create an investment plan that will heip in achieving your goals, it is important to understand the different ways you can invest. Select the term associated with making investment decisions that corresponds to each of the given descriptions. (Note: These are hot necessarily. complete definitions, but there is only one possible answer for each description.) Use your knowledge of different investment features and the informabion about the individuals below to complefe the following paragrapns: Denitri believes that housing prices are likely to fise repidly in the near future and wants to profit ty investing in real estate. He is considerina buvini individual properties, but he has little practical knowledge of real estote. A friend suggests that he buy the real estate sector, because this type of investment vehicle offers diversification within a particular secror: Another friend advises that Dmitri stay away from real astate entirely and instead consider boying stock with a fixed stated dividend rate, known as a preferred stock, Holders of this kind of stock receive dividends. holders of common stock receive theirs. s of ownership corporations benefits. the individuals berownoromprece cre iollowing paragraphs: and wants to profit by investing in real estate. He is considering buying end suggests that he buy cation within a particular sector. tead consider buying stock with a fixed stated dividend rate, known as a Shares of ownership in the assets and earnings of a business corporation. Interest-bearing, negotiable certificates of long-term debt issued by a corporatic exchanged for common stock in the issuing company. An investment company that combines the funds of investors who have purchas in it and then reinvests that money in a diversified portfolio of stocks and issued or governments. An investment in this can yield returns in the form of rents, capital gains, and certe An investment that has some characteristics of both a stock and a bond. Use your knowledge of different investment features and the information ab Dmitri believes that housing prices are likely to rise rapidly in the near future individual properties, but he has little practical knowledge of real estate. A fri the real estate sector, because Way from real estate entirely and inst wrstock receive dividends nes the funds of investors who have purchased shares of ownership in a diversified portfolio of stocks and issued by other corporations acteristics of both a stock and a bond. investment features and the information about the individuals below to compll ices are likely to rise rapidly in the near future and wants to profit by investing s little practical knowledge of real estate. A friend suggests that he buy the real estate sector. because this type of investment vehicle of mitri stay away from real estate d instead consider buying stock with a is kind of stock receive dividends holders of common stock receive the
