What role do InvITs play in attracting long-term investors?(1.0 Marks)Offer High-Risk InvestmentsAOffer Speculative InvestmentsBOffer Low-Risk Investments To Attract Long-Term InvestorsCProvide No Investment Opportunities For Long-Term Investors
Question
What role do InvITs play in attracting long-term investors?(1.0 Marks)Offer High-Risk InvestmentsAOffer Speculative InvestmentsBOffer Low-Risk Investments To Attract Long-Term InvestorsCProvide No Investment Opportunities For Long-Term Investors
Solution
InvITs, or Infrastructure Investment Trusts, play a significant role in attracting long-term investors. They do this primarily by offering low-risk investments. This is because InvITs are typically involved in the ownership and management of income-generating infrastructure projects, which tend to have long lifecycles and generate steady cash flows. This makes them relatively low-risk compared to other types of investments, which can be attractive to long-term investors who prefer stability and predictability. So, the correct answer is C: Offer Low-Risk Investments To Attract Long-Term Investors.
Similar Questions
Which of the following is NOT a benefit of investing in InvITs?(1.0 Marks)Facilitation Of Ownership Of Diversified Infrastructure Assets For Retail InvestorsAProvide Long-Term Financing Option For Existing Infrastructure ProjectsBIncrease Company Profits ImmediatelyCFree Up Developer Capital For Reinvestment Into New Infrastructure Projects
Institutions with large sums of stable, long-term investment capital, looking for high return investments (such as long-term commercial real estate projects); investors in secondary mortgage markets.
An investor who has a long term view and is looking for capital appreciation and also has high risk tolerance should opt for investments in .*GoldEquitiesFixed DepositesHigh interest bearing junk bonds
Liquidity is best defined asMultiple Choiceinvestment products with terms of less than one year.Long-term investing to ensure returns are maximized.the ability to buy or sell an investment within a five year time period.the ability to buy or sell an investment quickly without affecting the investment’s value.the ability to buy or sell an investment quickly.
What are the types of Investors?
Upgrade your grade with Knowee
Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.