Investments come with different levels of potential risk and return. Generally,

Investments come with different levels of potential risk and return. Generally, most investors are only willing to take a higher risk if there is a potential for higher financial returns. An asset’s return is a key variable in the investment decision because it indicates how rapidly an investor can build wealth. In this discussion, we will explore the relationship between risk and reward.
Explain the relationship between risk and return in investment.
Describe how you can maximize your investment return with less risk.
Explain two key sources of risk that might affect potential investments.
Investors benefit from holding portfolios of securities rather than just one or two investments. Without necessarily sacrificing returns, investors who hold portfolios can reduce risk.
Explain two key benefits that international diversification can offer the individual investor.
Describe the difference between a growth-oriented portfolio and an income-oriented portfolio.
Explain one technique used to evaluate the financial assets of an investment.
Explain why a model portfolio of investments should include stocks, bonds, mutual funds, options, and futures contracts.