Systematic Risk
An investor concerned about inflation would be LEAST likely to invest in which of the following?
Long-term fixed-rate bonds like 30-year Treasury bonds offer no protection against inflation. REITs and common stocks can increase in value with inflation, and TIPS are specifically designed to protect against inflation
Complete Analysis & Legal Rationale
Long-term fixed-rate bonds like 30-year Treasury bonds offer no protection against inflation. REITs and common stocks can increase in value with inflation, and TIPS are specifically designed to protect against inflation by adjusting principal with the CPI.
Distractor Autopsy (Why Other Options Are Traps)
FINRA exam writers design incorrect distractors using specific calculation mistakes and regulatory misconceptions. Review why each option succeeds or fails:
Does not match the governing concept in the explanation.
Does not match the governing concept in the explanation.
Matches the verified teaching point in the explanation.
Does not match the governing concept in the explanation.
Official Standard: Outline-level citation pending rule-specific upgrade. Verify against current FINRA materials.