5. Which of the following statements best describe risk in financial planning? A. The degree of certainty and/or potential financial loss inherent in an investment decision B. The degree of uncertainty and/or potential financial loss inherent in an investment decision C. Every investment product has same risk and return D. None of the above

Systematic risk is diversifiable, so it is an investment's relevant risk. Unsystematic risk is O True False

What does risk tolerance measure in the context of investment strategy? This is a multiple choice question. Once you have selected an option, select the submit button below The ability to take on higher risks for potentially higher returns The willingness to accept losses in the short term The capacity to afford potential losses The preference for low-risk, low-return investments