2 of 3) If an investor is worried about inflation in the short term, they would...
2 of 3) If an investor is worried about inflation in the short term, they would be most likely to hedge with…
A. Property
B. Cash
C. Stocks
D. Precious Metals
Homework Answers
Answer - stocks
Reason - if an investor has option to hedge among property, cash, stocks and precious metals, stocks would be most likely to be beneficial in short term, as stocks of a company will earn returns as per the inflation and price will also increase accordingly with inflation.
Property is not an investment for short term. Precious metals are complex as an investment moreover has different value as per market and demand time to time and cash is not an option to hedge.
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