Assume you invest your money is a portfolio of stocks known as the S&P 500 (i.e. a portfolio of 500 stocks). Consider three different investment horizons (i.e. periods of time that you own the stock portfolio): (1) year, (5) years, and (20) years. For each part below, choose the investment horizon that answers the question. Write 1 year, 5 years, or 20 years in the space below the question.

A. Based on historical performance, in which investment horizon would you earn the largest annualized gain (i.e. percentage gain per year or years)?

B. Based on historical performance, in which investment horizon would you earn the lowest annualized gain (i.e. percentage gain per year or years)?

C. Based on historical performance, in which investment horizon would you experience the smallest annualized loss (i.e. percentage gain per year or years)?

D. Based on historical performance, in which investment horizon would you experience the largest annualized loss (i.e. percentage gain per year or years)?