Risk free to the average worker

Assignment Help Finance Basics

Reference no: EM13749982

In the last ten years a new term has be coined that is every interesting. It goes like this: Privatize the Profits and Socialize the Risk! What does that mean?

The concept of Risk in investing is looked at in different ways by each invidual that invests their money for the future. To some, investing their hard-earned money should be as safe as possible. To others, Risk is just something you must do to be able to do to earn a rate of return on your principal.

Should investing be completely risk free to the average worker? Or, rather, risk is something that each person that desires to invest their money must understand and that if they were to lose all their money because of a lack of understanding--so be it?

Reference no: EM13749982

Questions Cloud

Idiosyncratic and systematic risk and risk premium : Define and contrast idiosyncratic and systematic risk and the risk premium required for taking each on. Can beta be helpful in this instance? Explain your answer.

Control risk over cash disbursements : Your preliminary assessment of control risk over cash disbursements is low. You base this assessment on the requirements that each cash disbursement be supported by a purchase requisition, a properly approved purchase order, an approved vender list, ..

Complete an ethical analysis of facebook : Investigate the terms "ethical analysis" and "ethical dilemma". What is the ethical dilemma presented in this case? Complete an ethical analysis of Facebook

What is the cost assigned to the ending inventory : For the assembly department unit material cost is $18 and unit conversion cost is $12 . If there are 50,000 units in ending work in process 35% complete as to conversion costs and 75% material cost, what is the cost assigned to the ending inventory?

Risk free to the average worker : Should investing be completely risk free to the average worker? Or, rather, risk is something that each person that desires to invest their money must understand and that if they were to lose all their money because of a lack of understanding--so..

Uses activity-based costing : TThomas, Inc uses activity-based costing. The company produces two products, 001 and 002. Information relating to the two products is as follows: Units produced, 001is 38,000. 002 is 50,000. Machine-hours, 001 is 15,000. 002 is 17,000. Direct labor-h..

Bankruptcy costs borne by bond holders in bankruptcy : A company has a zero-coupon bond outstanding, with face value 1,000 and a 3 year maturity. The bond is risky with a beta of 0.7. The risk free rate is 2% and the market risk premium is 6%. There are two equally likely scenarios at maturity:

Calculate the dividend for year : Calculate the dividend for year 15 if Do is $2.50 and growth is 6%. D15 = $__________

Compensating expatriates : "Compensating Expatriates" Please respond to the following:•Analyze the issues and considerations that impact expatriate compensation to determine the single biggest challenge in setting compensation. Provide specific examples to support your respons..

User Account

All Pages