The principal of risk-return tradeoff mean that

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Reference no: EM131591826

A. Higher risk investments must earn higher returns

B. An investor who takes more risk will earn a higher return

C. A rational investor will only take on higher risk if he expects a higher return

D. An investor who bought stock in a small corporation five years ago has more money than an investor who bought U.S. treasury bonds five years ago.

Reference no: EM131591826

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