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Compared to investors with long investment time horizons, investors with short investment time horizons most likely require:

A. Less liquidity and less emphasis on capital appreciation. B. more liquidity and less emphasis on capital appreciation. C. less liquidity and greater emphasis on capital appreciation

Planning Team Management Business Management Business Development
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Question added by Vinod Jetley , Assistant General Manager , State Bank of India
Date Posted: 2014/10/25
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Ibrahim Hussein Mayaleh
by Ibrahim Hussein Mayaleh , Sales & Business Consultant and Trainer , Self-employed

It is B

 

Investors need more liquidity and lower risk tolerance because they are very sensitive to any performance deficiency. 

VENKITARAMAN KRISHNA MOORTHY VRINDAVAN
by VENKITARAMAN KRISHNA MOORTHY VRINDAVAN , Project Execution Manager & Accounts Manager , ALI INTERNATIONAL TRADING EST.

For short term investors liquidity is the prime concern

Vinod Jetley
by Vinod Jetley , Assistant General Manager , State Bank of India

B. Investors with short time horizons generally have a greater need for liquidity and lower risk tolerance because they have less time to recover from any performance shortfalls. Capital appreciation is an aggressive strategy that would not be appropriate.

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