Long-Term Investment Horizon:

• Capital market securities have extended maturities that typically exceed one year. Investors holding these securities are focused on long-term growth, income generation, and capital appreciation.

Growth and Income Potential:

• Capital market securities offer the potential for growth and income through dividends, interest payments, and the appreciation of the security’s value over time. These securities are often associated with companies or entities with growth prospects.

Diversification and Risk-Reward Tradeoff:

• Capital market securities provide opportunities for diversification within investment portfolios, balancing risk and return objectives. Investors must carefully assess the risk associated with individual securities and make informed investment decisions accordingly.

Range of Investment Options:

• Capital market securities encompass various instruments such as stocks, bonds, mutual funds, exchange-traded funds (ETFs), and real estate investment trusts (REITs). This broad range of options allows investors to tailor their investments to specific preferences and goals.

Market Volatility and Potential Returns:

• Capital market securities can be subject to market fluctuations, and their returns are influenced by factors such as economic conditions, interest rates, industry performance, and company-specific factors. Investors should be prepared for potential volatility in pursuit of long-term gains.