General Studies · Market Participants
James Beach is young and has substantial wealth. A significant proportion of his stock portfolio consists of emerging market stocks that offer relatively high expected returns at the cost of relatively high risk. Beach believes that investment in emerging market stocks is appropriate for him given his ability and willingness to take risk. Which of the following labels most appropriately describes Beach?
- 1Arbitrageur
- 2Information-motivated trader
- 3Investor✓
- 4Hedger
Correct answer
Investor
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