Share market as compared to risk-free investment

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Reference no: EM131944573

Suppose, you are acting as a financial analyst for a company. One of your roles is to suggest and decide on investments in the bond market and in the share market. Discuss at least three and no more than five economic and/or other factors or issues which you think are important to consider during investing in the share market.

· In your response, please also indicate the reason you feel the factors or issues are important to consider in investment decisions.

· Please also suggest why you think you would prefer to invest in the share market as compared to a risk-free investment or in the bond market while making an investment decision.

· Additionally, indicate how your chosen factors or issues may directly or indirectly influence the prices of shares and consequently your investment. If applicable, please also indicate whether you can take any measure to reduce any negative influence linked to your chosen factors or issues.

Reference no: EM131944573

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