1.

Yvette is risk intolerant and does not want there to be much fluctuation in value
for her assets. Which asset would Yvette most likely keep: Cash, Bonds, Stocks,
or Savings Deposit? Explain your answer.
Yvette most likely to keep her asset in a savings deposit held at a bank or
another financial institution where she can deposit a sum of money and get a
modest interest rate. It serves as one of the safest ways to invest her hard-
earned money. Since today it is not easy to trust your assets to anyone
because of scammers and other people will take advantage of your
money. It is also a liquid investment which you can easily convert it into cash
without having any significant effect on it’s value. It has a lot of benefits without
any risk involved. Unlike stocks and bonds, yes you might earn a lot of money
but it is very risky since you can’t assure if your money will increase or decrease.
While in cash it is not safe since you might spend it and it easily steal by
someone. So Yvette must keep her money on savings deposit to have a secured
future.

 
2. Explain why older people put their money in savings account.
Older people put their money on savings account because it is much safer and
there’s no risk involve. It is the most convenient and simplest place to store your
money. They can use credit or debit card since they are old enough so it will be
easier for them to withdraw and access to their account. It will also serve as a
security for their asset if they die. Their savings will also increase because of the
interest. A savings account enables you to set weekly or monthly automatic
deposits from your checking account into your savings account.

References:
9 Benefits of Savings Accounts: How You Can Get the Best of Them (March 24, 2019)
Retrieved from: https://thecostaricanews.com/benefits-saving-account/
7 Safest, Low-Risk Investments for Your Money (March 24, 2019) Retrieved from:
https://www.moneycrashers.com/safest-investments-for-your-money/