Are Your Investments Safe?

Whenever the word “investment” comes up in conversation, the word “safe” usually follows, and with good reason. No one can entirely escape the volatility of many investments.

What about your current investments? Of course, portfolio contents can be as unique as fingerprints. But everyone who invests faces the same question: Are they safe?

We’ll examine this question in relation to the investment’s level of risk. With the vast variety of investments, we cannot possibly cover every scenario. However, we’re confident that the information in this article will help you grasp the principles in order to apply it to your own investments.

Stocks

Sure, stocks can have big payoffs. Some have, out of what appears to be sheer chance, have become wealthy – seemingly overnight.

However, with those big payoffs come extremely high risks. The short of it is that you could lose everything you put into it if you invest for the short term. Many have lost, and lost big.

History has shown, though, that you’re better off investing for the long haul. All stocks have gains and losses. Over time, your overall investment picture on a stock, if it’s a good one, should show mostly gains over losses.

Frankly, stocks as an investment are not “safe” in the purest sense. However, your safety is in direct proportion to the acceptable level of risk you employ toward your stock.

Bitcoins

There is a lot of debate about the safety of bitcoin as an investment. For people who know little or nothing about bitcoin, it might be declared unsafe.

On the other hand, many people who have figured out bitcoin have done well...really well…and consider it safe. So it seems that it’s in the eyes of the beholder.

However, there is one way to make bitcoin investing safer. The Bitcoin Code System has supposedly helped many to not only mine bitcoin, but also to trade it.

Mutual Funds

With mutual funds, your fund manager, for a fee, will invest your money in a variety of stocks, bonds and other funds to diversify your investments.

With this diversity of investments, you have a diversity of risk averaged out. Stocks will carry higher risks, while the other funds or investments carry the lower risks.

So with this mixture of low and high risk, there’s also a healthy measure of “safety” to put even the most skiddish investor at ease.

Summary

Of course, we couldn’t possibly cover every investment available. But as you can see, the level of safety is in direct proportion to the level of risk involved. You could “safely” say too that the lower the payoff, the safer the investment is.

Also, there really are no guarantees when it comes to investing. Markets change, some more often than others. Still, there’s something for everyone. Just be sure and go in with your eyes wide open.

We hope you found something helpful in this article, so you can keep your investment portfolio safe – or at least safer.