#1
Which of the following is considered a low-risk investment?
Stocks
Bonds
Cryptocurrency
Options
#2
What is the primary function of a mutual fund?
Guaranteed returns
Diversification
High liquidity
Tax exemption
#3
What is the typical term length for a certificate of deposit (CD)?
30 days
1 year
5 years
10 years
#4
Which of the following is an example of a tangible asset?
Stocks
Real estate
Bonds
Mutual funds
#5
Which of the following is NOT a type of individual retirement account (IRA)?
Roth IRA
Traditional IRA
401(k) IRA
SEP IRA
#6
Which of the following is NOT a type of fixed-income security?
Treasury bonds
Corporate bonds
Preferred stock
Municipal bonds
#7
What is the purpose of a derivative in finance?
To minimize risk
To speculate on price movements
To provide a fixed return
To ensure liquidity
#8
What is the primary purpose of a hedge fund?
To provide low-risk investments
To maximize shareholder wealth
To pool funds from multiple investors
To offer guaranteed returns
#9
Which of the following is NOT a factor affecting the price of a bond?
Interest rates
Issuer's credit rating
Market volatility
Dividend yield
#10
Which of the following is a characteristic of a traditional savings account?
High interest rates
Tax-deferred growth
FDIC insurance
Withdrawal penalties
#11
Which of the following is NOT a characteristic of exchange-traded funds (ETFs)?
Traded on stock exchanges
Actively managed
Passively managed
Diversified portfolio
#12
What is the main characteristic of a real estate investment trust (REIT)?
High liquidity
Direct ownership of properties
Tax-exempt status
Distribution of rental income
#13
Which of the following is a characteristic of venture capital?
Low-risk investment
Investment in established companies
Publicly traded shares
High potential for growth
#14
What is the main advantage of investing in real estate crowdfunding?
Direct ownership of properties
Diversification
Low initial investment
High liquidity
#15
What is the main advantage of investing in a real estate limited partnership (RELP)?
High liquidity
Direct control over property management
Low initial investment
Tax-exempt status