Question

For an investor who is retired, which category of stocks would be appropriate for a portion of their portfolio?

Question 16 options:

a)	Blue-chip stocks

b)	Income stocks

c)	Growth stocks

d)	all of these are correct

e)	Both Blue-chip stocks and Income stocks are correct

Answer 1

Answer: option e) Both Blue-chip stocks and Income stocks are correct.

Blue chip stocks are the common stocks issued by large, nationally known companies with sound financial histories with solid dividend and growth records.

Income stock are the stock which regular dividends. most often these dividends are steadily increasing dividends and the income stock ussualy gioves high yields.

Growth stocks are common stocks of those company which expect to grow at a higher rate than market rate.thses stocks posses uncertaining of risk.

For a retired investor, it is always better to be at a lower risk postion, so blue chip stocks with sound financial background and income stock with steadily increasing dividends would be better to chose when compared to growth stocks were risk is uncertain.