Question

Aurelio is concerned that investing funds through direct finance is too risky. What sound investment advice could you offer to Aurelio?(1 point)
Responses

Aurelio should consider investing through the OTC market to minimize risk.
Aurelio should consider investing through the OTC market to minimize risk.

Aurelio should consider purchasing stocks from a corporation to minimize risk.
Aurelio should consider purchasing stocks from a corporation to minimize risk.

Aurelio should consider investing with a financial intermediary to minimize risk.
Aurelio should consider investing with a financial intermediary to minimize risk.

Aurelio should consider purchasing bonds from a corporation to minimize risk.

1 answer

The most sound investment advice for Aurelio, considering his concern about the risks associated with direct finance, would be:

Aurelio should consider investing with a financial intermediary to minimize risk.

Investing through financial intermediaries, such as mutual funds or investment firms, can help distribute risk and provide access to a diversified portfolio, thus minimizing the potential impact of poor investment choices.