Over time the average rate of return on stocks is

Posted By Admin @ September 03, 2022


Over time the average rate of return on stocks is:

A. less than 2%
B. 3%
C. 4%
D. More than 5%


The average rate of return on stocks is more than 5% over time.

What is the rate of return?

Rate of return means the part of the money that an investor would be getting back, or may also call the profit in an investment. Here, the numbers for rate of return are largely found in the stock market, business, and other types of investments an individual makes.

The average rate of return on stocks is approximately about 7% overall, so here we can take more than 5%. Rate of interest.

What is overtime?

Here the word Over time is likely talking about the time period all the way rearmost to the 1950s where the returns were high, to this generation, which had a negative decrease in % of rate of return. Therefore, The question is inquiring about the overtime rate but not just a specific time period.

Therefore, option D is correct.

Learn more about the interest rates, refer to:


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