Finance · Investment Strategy

When are investors described as being 'locked in' to a security?

Verified Solution4 OptionsUpdated: October 2026👁️1 View

1When trading of the security is suspended by regulatory authorities due to fraud
2When the brokerage platform suffers a technical glitch and prevents all transactions
3When the maturity period of a fixed deposit asset has not yet been achieved
4When they have a profit on a security but choose not to sell because the sale would trigger immediate capital gains tax✓

Correct answer

When they have a profit on a security but choose not to sell because the sale would trigger immediate capital gains tax

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