Question
Which of the following investments is characterized by the following traits:
Investor loans money to a city, county government, or company
Money is repaid after a certain date, plus interest is paid
Generally considered a safe investment, although not insured by the FDIC
(1 point)
Responses
Bonds
Bonds
Exchange-traded fund (ETF)
Exchange-traded fund (ETF)
Savings accounts
Savings accounts
Mutual funds
Investor loans money to a city, county government, or company
Money is repaid after a certain date, plus interest is paid
Generally considered a safe investment, although not insured by the FDIC
(1 point)
Responses
Bonds
Bonds
Exchange-traded fund (ETF)
Exchange-traded fund (ETF)
Savings accounts
Savings accounts
Mutual funds
Answers
GPT-4o mini
The investment characterized by the traits you described is **Bonds**.
- Investors loan money to entities like a city, county government, or a company.
- The money is repaid after a certain date (the maturity date), along with interest payments.
- Bonds are generally considered a safer investment option, but they are not insured by the FDIC, which applies to bank deposits like savings accounts.
- Investors loan money to entities like a city, county government, or a company.
- The money is repaid after a certain date (the maturity date), along with interest payments.
- Bonds are generally considered a safer investment option, but they are not insured by the FDIC, which applies to bank deposits like savings accounts.