Safe Investment Practices

Where exactly are you looking for: Huge profits or marginal profit? You have money to invest, investing can make you rich. Wisely The most important things an investor should know are Risk, Duration, return and liquidity.
Risk
Most people want to get out of an investment best. With every kind of investment there is some risk and knowing a few risks would help you manage the risks. Better
o Inflation is to keep up with inflation your deposit. You can invest in a savings account or certificate of deposit or bonds. If inflation in the economy of your deposit is worth less than what you imagined it would be.
o Main risk is a loss in the first amount you invested. For example, you buy shares worth $ 5,000 and the stock value has dropped and you find no other option but to instead of selling further losses. You sell all shares at $ 2,500. The most important thing you lost is $ 2,500. If you retain the stock you can still lose if the stock value decreases.
o Interest rate risk is the fluctuation of the price of shares or bonds as a result of a fluctuation in the rates of interest.
o Market risk is the factors beyond the control of companies such as changes in the economy, government or trade market.
o Credit risk is if you invest in bonds and the company is unable to make interest. They return your entire principal. Then your investment has not yielded returns.
Expensive
Duration is as important a factor as risk when evaluating your investment. Duration is the time within which investors can regain their investment. Duration and risks determine the investment returns. Duration can be short term or long term and fixed or managed (by investor).
Yield
The Rate of Return (ROR) Return on investment (ROI) or simple return is the money earned or lost to the amount invested. This is a very popular metric used in financial analysis. It is simple and versatile. If an investment does not have a positive ROI then it is not worth the. If the investment has a greater ROI than these investments are a better option. General investment exceeding risks are those which promise greater ROI.
Liquidity
Any means that you own, be it property, stock, bonds etc. .. can be converted into cash. Money in the form of cash is the most liquid assets. In the event that you are not your bond into cash within the period then your asset is illiquid.
Bakke Slate for return
o About the property and inventories have been carried out long-term other assets. Real estate grants and real estate software can help you in real estate investment.
o Treasury bonds and other government-related bonds are the safest investment for the long-term benefits.
o A diversified portfolio is less risky than a portfolio concentrated in one or a few investments. The margin of profit you make counter also be weighed.
o If you do not opt ​​for managed investments rather than direct investments. You would have to pay for the management of your investment costs.
o A bank account is a safe place for cash in case you do not want to choose. a high investment risk Banking services may cost and so the choice of services may be the best deal you make.
o Credit unions, mutual funds, money market funds, brokerage cash management account and other options are also available.
o Invest in the sector of energy stocks. Oil, natural gas and associated imagery are skyrocketed in recent years.
o Hotel and travel is another popular target for investment opportunities.
o Mortgage companies are also in the struggle for investing your money. But make a wise choice as many a dubious honor of cheating customers acquired.
o Computer-related shares such as software, hardware and internet have seen winners and losers. Big cap stocks like eBay and Google are the best bet.
o Investing in gold, platinum or precious stones are also beneficial if it shows signs of increase when the currency falls.
Caution in certain investments is always recommended. Learn how the investment market works and then invest.
is your stop for financial planning. If you have money to investment than investment in real estate, etc. have ... is explained on this site. Investing and see value your money. This is followed much the goal.

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