Out of the given options, a person with a high-risk tolerance likely choose a type of investment is bond.
Answer: Option B
Explanation:
When the interest rates of bonds falls, the prices of the bonds tends to rise and vice versa. The longer you hold a bond, the higher the rate of risk. This is known as market risk.
Sometimes a bond issuer can sell bonds at low interest rates, but the investor will not be able to find a bond with similar rates and this risk is known as call risk. Although the other options also have their own risks, in this list, bonds are comparatively riskier than the other options.
Answer: c. Futures
Explanation:
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