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Unraveling the Mystery of Investing #3


Inflation Risk
 
Inflation risk is the danger that inflation will reduce the purchasing power of your investment over time. Low-yielding investments such as savings accounts and money market funds may not earn enough to outpace rising prices.

Unraveling the Mystery of Investing #2


Liquidity Risk
 
Liquidity risk means not being able to liquidate an investment quickly while keeping the original investment amount intact. This can occur with investing in bonds where the bond must be held to maturity in order for you to achieve a specific interest return. It can also be a risk should you invest […]

Unraveling the Mystery of Investing #1


Unraveling the Mystery of Investing #1

Investing can be very complicated or very simple. It can be very successful or disastrous. There is risk with investing and there is risk in not investing. Investing can be very enjoyable or very distasteful. So in this chapter we want to give you some overall […]