"Investing in stocks and bonds is risky because it is possible to lose all or part of your principal" is a TRUE statement.
Financially, the risk is the possibility that a result or investment won't produce the desired results or return. Risk involves the potential for a loss of the entire original investment.
Risk is often measured by taking past outcomes and actions into consideration. Standard deviation is a frequent statistic used to measure risk in finance. The standard deviation gives a measurement of how variable asset prices are in relation to their average historical values over a specific time period.
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