Question 3:

Joe has made substantially bigger capital gains than most other investors in the stock market during the past few years. This means that

1. he invests in high-risk assets.

2. he is very good at finding out which companies are well managed and which are not and is clever in understanding market psychology.

3. he is lucky at having stumbled on an investment strategy that has worked well during the last few years.

4. any of the above could be true.

Choose the correct option.