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7nadin3 [17]
4 years ago
12

A client is interested in investing in the real estate sector, but shows great concern about the possibility of depreciation wit

hin the sector and more specifically within certain geographic areas. What recommendation should an RR handling this client's account make in relation to achieving the HIGHEST amount of diversification in real estate-related investments?[A] The client should invest in securities issued by the Federal National Mortgage Association (FNMA).
[B] The client should invest in ETFs that are issued on a REIT index.
[C] The client should focus investments in one REIT.
[D] The client should invest in securities issued by the Government National Mortgage Association (GNMA).
Business
1 answer:
BlackZzzverrR [31]4 years ago
4 0

Answer:

[B] The client should invest in ETFs that are issued on a REIT index.

Explanation:

ETF represents the Exchange Traded Funds basically these are part of Real Estate Investment Trusts, and these ensure the wide diversification in the investments.

The securities of FNMA and GNMA are more focused on the mortgage area, although these too also relate to the real estate sector, but as it focuses on mortgage returns it is not viable for diversification.

Thus, correct option is Statement B as ETF ensures diversification and then lower depreciation accordingly.

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antoniya [11.8K]

Answer:

The temporary unemployment resulting from such sectoral shifts in the economy is best described as frictional unemployment.

This is because it is temporary and people in the affected sector could opt for jobs in other performing sectors of the economy.

Explanation:

Suppose the world price of cotton falls substantially, the following scenario will ensue.

The demand for labor among cotton-producing firms in Texas will reduce .

The demand for labor among textile-producing firms in South Carolina, for which cotton is an input, will also decline .

The temporary unemployment resulting from such sectoral shifts in the economy is best described as frictional unemployment.

Frictional unemployment is seasonal employment that could occur when there is no demand or work period is completed unlike structural unemployment that can last for long.

It is a temporary unemployment situation because workers in the cotton industry could opt for jobs in other performing sectors of the economy.

5 0
3 years ago
What are organizations that are in the business of benefiting society and operate like a business called
Rudik [331]

Answer:

Nonprofit organisation

Explanation:

A nonprofit organisation is also known as nonbusiness entity is dedicated to promoting a social cause by taking surplus in the society to further a particular objective. Nonprofit organisations are usually exempt from tax for the contributions they receive.

There are not accountable to shareholders but rather to donors, volunteers, program recipients, and the community at large.

4 0
4 years ago
What is the most important about the Finance Manager of an agency?
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i hope this helps you out!!!!

3 0
3 years ago
3. A los factores productivos, dentro del proceso<br> de producción, también se conoce como..
emmainna [20.7K]

Answer:

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