BUS 401 Week 4 Journal Risk and Return
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Week four Journal: The importance of the risk and return balance
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BUS 401 Principles of Finance
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Can we ever have any return without some type of risk?
It is not possible to have any return without some type of risk. This is because all kinds of investments are characterized by a certain risk. The only possible scenario is to have a return with minimal risk. In the investment sector, government securities such as treasury bonds are considered as having minimal risk. However, investing in such securities does not necessarily guarantee that the investor will yield a return. Such investments are prone to different risks such as political instability. This is a perspective that indicates that it is not possible to have any return without some type of risk.
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