Acceptable risk tolerance level

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You are surprised by the significant amount that is needed to be set aside to take care of the elderly who needs medical care. You decided to speak with a team of investment specialist to see if investment returns can be improved to meet this objective. Some suggestions are given to you. Assess the investment risks of each of the following investment vehicle vis vis your ministry’s acceptable risk tolerance level.

• 100% of the budget to be invested into global equities

• Have a portfolio of commercial properties for steady rental income

• Invest in hedge funds and use derivatives as leverage

Reference no: EM131625297

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