Define your investment objectives, period and risk
An intrinsic component of the investment, the risk is not resettable: when you invest you make a forecast on a future value, which is uncertain. What you can do, however, is to minimize the risk by choosing wisely what to invest in among the variety of instruments offered by the financial market. Keep in mind that risk and return increase and decrease together: an investment that promises a high return is more risky, conversely a low risk investment will yield a low return.
How? Follow a strategy in line with your investor profile, based on these three factors
Investment objectives: to buy a house, pay for their children’s studies, devote themselves to a passion etc. They should be consistent with how much savings you can invest and with your concrete needs.
Risk appetite: it concerns both the economic and emotional capacity to bear possible losses and is a strictly subjective matter. Minimize your risk and enjoy best online casino south africa.
Time horizon of the investment: it can be long or short, it depends on both needs and age. In the long run you can recover any losses due to the negative market trend, so you can make riskier investments. On the contrary, in the short term, when time is not always enough to balance the losses, low-risk investments are convenient, with which to safeguard the capital.
Differentiate financial instruments and read documents
So, how to invest money without risk – or rather – with less risk? The basic rule is to diversify: do not concentrate savings on a single financial instrument (or on instruments with similar riskiness), but invest in multiple unrelated assets , in order to reduce the overall risk.
An essential aspect for investing in security is to choose financial products carefully, taking the time to read the information documents; understand whether or not the risk has an acceptable measure for you; ask, if you have any doubts; search for information on your own. The important thing is never to underwrite any investment blindly. Keep some fund for playing online game like casinoroo online casino.
The best advice on safe investments does not always come from colleagues, friends or relatives, precisely because each person has his own investor profile, which can differ a lot from the others. We recommend that you rely on an authorized and qualified intermediary – for example the bank -, who can accompany you in selecting the financial products that best fit your needs and with the right risk / return ratio for your profile. Alternatively, you can proceed independently, even taking advantage of the potential of online trading.
