Question

In: Accounting

Inflation drag is one major concern when considering investment growth and value. What is another major...

Inflation drag is one major concern when considering investment growth and value. What is another major consideration? What tools are available to mitigate this concern?

Solutions

Expert Solution

when we investment growth and value thier is inflation is major concern but their are few more major concern;

just like ===fraud from scamers,government policy,conditons of investmet firm,Lack of Patience,Too Much Investment Turnover,

so we take fraud from scamers becouse this is also a major concern

tools are to mitigate Fraud from scamers

1st. be careful= this is very basic and we all know .when we want to invest just be careful before investment.that will make hardels and make your growth very slow.

2nd.Develop a Plan of Action=when you start try to investment ,you first develope a plan anc execute this now.

3rd.Have Some Fun Money=We all get tempted by the need to spend money at times. It's the nature of the human condition. So, instead of trying to fight it, go with it. Set aside your "fun investment money." You should limit this amount to no more than 5% of your investment portfolio. Do not use retirement money

4th.investments in reputable financial firm;to avoid this concern you must invest a company who is reputable .

5th.advise someone who is a expert in this field= i know it will hurt you .advise is a very good mathorf to avoid this concern.

if we take care all the thinks i am sure that will naver make a hurdle for you and you will grow fast .


Related Solutions

Is it more important for the Fed to concern itself with steady growth without inflation or...
Is it more important for the Fed to concern itself with steady growth without inflation or should it work to increase the growth rate at the cost of more economic swings/volatility?
The present value of growth opportunities (PVGO) will be __________ when the return on investment is...
The present value of growth opportunities (PVGO) will be __________ when the return on investment is lower than the cost of equity.
1) What is the major concern with ceramic on ceramic joints?    2)What is the major...
1) What is the major concern with ceramic on ceramic joints?    2)What is the major issue with hard on soft joints?What is the adverse clinical result that has been reported associated with this issue? Describe pathological mechanism. 3) What is the major concern with metal on metal joints list 3 consequences what are anticipated?
1) Economic growth occurs when there is an increase in the inflation rate. there is a...
1) Economic growth occurs when there is an increase in the inflation rate. there is a decrease in the unemployment rate. we discover a sleeping worker who is forced to go back to work. there is an increase in the amount of capital. 2) Saving is important for economic growth because it increases investment spending. because we increase our consumption immediately. because it reduces investment spending. because our standard of living will decrease. 3) The circular flow of income shows...
How do economists measure inflation? What is the major cause of inflation?
How do economists measure inflation? What is the major cause of inflation?
in a partial correlation, what happens to the original value of a correlational coefficient when another...
in a partial correlation, what happens to the original value of a correlational coefficient when another variable is partialed out
A company is considering two investment options: Option 1: An investment of $45,000 today, and another...
A company is considering two investment options: Option 1: An investment of $45,000 today, and another investment of $15,000 in year 3, with returns of $18,000 in year 2, $7000 in year 3, and $50,000 in year 5. Option 2: An investment of $55,000 today, and another investment of $5000 in year 4, with returns of $15,000 in year 1, $16,000 in year 3, and $60,000 in year 5. Calculate the internal rate of return for each option. Which investment...
What is the relationship between inflation, nominal GDP growth and real GDP growth?
What is the relationship between inflation, nominal GDP growth and real GDP growth?
What does it mean to have a comprehensive perspective? A. When one shows moral concern involving...
What does it mean to have a comprehensive perspective? A. When one shows moral concern involving a commitment to obtain and properly assess all avaialble information that is pertinent to meeting moral obligations B. When one accepts moral responsibility for their actions. C. When one is sensitive to the full range of moral values and responsibilities relevant to a situation and is willing to develop the skill and expend the effort needed to reach a reasonable balance among those considerations...
1) A slowdown in the U.S economic growth will A) boost $ value because inflation fears...
1) A slowdown in the U.S economic growth will A) boost $ value because inflation fears will be calmed. B) boost $ value because the federal reserve will expand money supply. C) lower $ value because the U.S will be a less attractive place to invest in. D) lower $ value because intrest rate will rise 2) In 1995 ¥ went from $0.0125 to $0.0095238. By how much did $ appreciate against ¥? 3) Suppose that the Brazilian real devalues...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT