Understanding the Risk-Return tradeoff and how it can help you invest wisely

Rahul had been pleading with his father for over a month to revise his pocket money. Finally, his father decided to use this as an opportunity to teach him an important investing lesson. He called Rahul and told him that he was ready to reconsider his pocket money. He gave him 2 options to choose from: Option A: I will increase your pocket money by 20% if you score above 90% in your upcoming exams. However, if you score below 90%, you pocket money will be reduced by 15%. Option B: Your pocket…Continue reading →