Question

    The length of time over which an investment is made or held before it is liquidated is called ___________.

    A Liquidation period Correct Answer Incorrect Answer
    B Time Horizon Correct Answer Incorrect Answer
    C Time Duration Correct Answer Incorrect Answer
    D Liquid lock Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    A time horizon is the length of time over which an investment is made or held before it is liquidated. Time horizons can range from seconds, in the case of a day trader, all the way up to decades for a buy-and-hold investor or an individual who is investing in a retirement plan.

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