Strategy Intermediate: Retirement Investing Strategies

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1.
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.
2.
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.
3.
Long time horizons generally enable us to assume _______ short-term ones.
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More risk than. Time reduces risk.
4.
In the long term, bonds and cash generally have lower returns than stocks.
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True. In the long term, stocks tend to have higher returns than other investments.
5.
The goal of a tax-managed fund is tax efficiency.
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True. The goal of a tax-managed fund is tax efficiency.