Calliope is in her mid-30s and wants to start saving for retirement. She wants to invest a portion of her income, but she is wary of high-risk options. How should she best allocate her investment funds

The correct answer is Bonds and mutual funds.

Explanation:

Mutual funds are, in layman's terms, collections of stocks, bonds, and other investment securities, managed by a financial expert to maximize profit. These funds often contain stocks and bonds of different companies.

Bonds, on the other hand, are like formalized loans that investors offer to commercial and government agencies. They do not offer ownership of any kind of the company but often offer regular interest payments (called "coupons") and / or full repayment at the end of the bond (loan).

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