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Retirement Intermediate: Retirement Investing Strategies

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1.
The amount of money you invest in an asset depends on _______.
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Both of the above. The way you allocate your money depends on your risk tolerance and time horizon.
2.
If you want the safety of low-volatility investments, you will have to accept ________ as well.
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Lower returns. As a rule, the lower the volatility of an investment, the lower the potential return.
3.
Long time horizons generally enable us to assume _______ short-term ones.
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More risk than. Time reduces risk.
4.
In general, bonds have more volatility and higher returns than either stocks or cash.
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False. While bonds may show more volatility than cash, stocks generally have higher returns and volatility than bonds or cash.
5.
Putting off payment of your taxes until later is known as _______.
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Tax deferral. This is advantageous when it comes to retirement planning.