Multiple choice

In which type of schemes should an unmarried professional working in HLL invest?

  1. Scheme investing 80% in debt securities

  2. 50% in equity funds and 50% in income funds

  3. At least 75% in equity funds having a higher PE Ratio than the market

  4. All the money in a balanced fund
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

An unmarried professional typically has high risk tolerance, long investment horizon, and stable income, justifying aggressive equity allocation (75%+). Higher PE ratio funds are growth-oriented, suitable for young professionals seeking capital appreciation. Conservative options (80% debt or balanced funds) would underutilize the investor's risk capacity and growth potential.

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