Which of the following statements is true based on the historical record for 19262019?

• Risk-free securities produce a positive real rate of return each year.

• Bonds are generally a safer, or less risky, investment than are stocks.

• Risk and potential reward are inversely related.

• The normal distribution curve for large-company stocks is narrower than the curve for small-company stocks.

• Returns are more predictable over the short term than they are over the long term.