Your friend just won $50,000 in an Elvis Presley look-alike contest. He asks you for investment...

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Your friend just won $50,000 in an Elvis Presley look-alike contest. He asks you for investment advice. He wants the investment most likely to double his money in the next year. The choices are: Portfolio #1: 100% in the S&P 500 index. Portfolio #2: 100% in Microsoft, one of the best-known companies in the Index. Portfolio #3: 100% in U.S. Treasury bills. Given his goal, which investment should he pick? Explain. Your friend just won $50,000 in an Elvis Presley look-alike contest. He asks you for investment advice. He wants the investment most likely to double his money in the next year. The choices are: Portfolio #1: 100% in the S&P 500 index. Portfolio #2: 100% in Microsoft, one of the best-known companies in the Index. Portfolio #3: 100% in U.S. Treasury bills. Given his goal, which investment should he pick? Explain.

Answer rating: 100% (QA)

First of all its important to note that investing always involves risk and there is no guarantee tha... View the full answer