Which of the Following Is True

Multiple Choice

Which of the following is true?

A) People who invest in the stock market are virtually certain to make money.
B) Investors in the stock market can reduce their risk if they hold shares of specific stocks for only short periods of time.
C) The risk of stock market investments can be reduced through the holding of a diverse portfolio of unrelated stocks over long periods of time.
D) In the long run, corporate bonds can be expected to yield a higher real rate of return than ownership of stocks.