Not exact matches
High -
risk or
illiquid investments are meant for
risking only small, controlled sums you can easily afford to lose.
Their companies are
illiquid, high -
risk, long - term
investments ready to swallow every drop of cash their owners can find.
These
investments are generally
illiquid and highly speculative, and are not suitable for anyone without a high tolerance for
risk and / or low liquidity needs.
International
investments involve additional
risks, which include differences in financial standards, currency fluctuations, geopolitical
risk, foreign taxes, and regulations, and the potential for
illiquid markets.
International
investments, particularly
investments in emerging markets, may carry
risks associated with potentially less stable economies or governments (such as the
risk of seizure by a foreign government, the imposition of currency or other restrictions, or high levels of inflation or deflation), and may be or become
illiquid.
When considering alternative
investments, you should consider the fact that some products may utilize leverage and other speculative
investment practices that may increase the
risk of
investment loss and be
illiquid, are not required to provide periodic pricing or valuation information to investors, may involve complex tax structures and delays in distributing important tax information, are not subject to the same regulatory requirements as mutual funds, often charge high fees including incentive fees, and in many cases have underlying
investments that are not transparent and are known only to the
investment manager.
Investments in
illiquid securities pose
risks related to uncertainty in valuations, volatile market prices, and limitations on resale that may have an adverse effect on the ability of the fund to dispose of the securities promptly or at reasonable prices.
Investors in these
illiquid investments expect a premium, known as the liquidity premium, for the
risk of locking up their funds over a specified period of time.
Overall, investors who choose to invest in longer - term
illiquid investments want to be rewarded for the added
risks.
Investments in international and emerging markets securities and ADRs include exposure to
risks including currency fluctuations, foreign taxes and regulations, and the potential for
illiquid markets and political instability.
Another issue for investors and liquidity
risk has to do with a fund's holdings and its level of
illiquid investments.
The main
risk is the opportunity cost as this is an
illiquid investment and investors might not have an easy time getting out, especially if negative news is released regarding proceedings.
Alternative
investments are speculative, subject to high return volatility and involve a high degree of
risk including, but not limited to, the
risks associated with leverage, derivative instruments such as options and futures, distressed securities, may be
illiquid on a long term basis and short sales.
Liquidity
risk exists when particular
investments of the Fund would be difficult to purchase or sell, possibly preventing the Fund from selling such
illiquid securities at an advantageous time or price, or possibly requiring the Fund to dispose of other
investments at unfavorable times or prices in order to satisfy its obligations.
Hedge funds may not be suitable for all investors and often engage in speculative
investment practices which increase
investment risk; are highly
illiquid; are not required to provide periodic prices or valuation; may not be subject to the same regulatory requirements as mutual funds; and often employ complex tax structures.
International
investments involve additional
risks you should be aware of, which include differences in financial accounting standards, currency fluctuations, political instability, foreign taxes and regulations, news that can trigger volatile conditions, and the potential for
illiquid markets.
For an investor willing to hold a security until maturity interest rate and liquidity
risk are often a secondary concern, but a
risk - adverse investor needs to realize that having the ability to exit a position quickly (same day) can be worth a lot more than the additional gain you could receive from an
illiquid investment.
The last thing you want is to
risk your emergency savings in a speculative,
illiquid investment.
These
investments are generally
illiquid and involve high
risks.
International
investments, particularly
investments in emerging markets, may carry
risks associated with potentially less stable economies or governments (such as the
risk of seizure by a foreign government, the imposition of currency or other restrictions, or high levels of inflation or deflation), and may be or become
illiquid.
Hedge funds, commodity pools and other alternative
investments involve a high degree of
risk and can be
illiquid due to restrictions on transfer and lack of a secondary trading market.
And yet, private company
investments can also be notably high -
risk endeavors, the company is generally not as regulated; it may be controlled by majority owners who are unscrupulous and if investors are not careful, they may find themselves locked into ownership in the business with no exit — no way to monetize their
illiquid interest in the company.
Risk Disclosure: Alternative investment products, including real estate investments, notes & debentures, hedge funds and private equity, involve a high degree of risk, often engage in leveraging and other speculative investment practices that may increase the risk of investment loss, can be highly illiquid, are not required to provide periodic pricing or valuation information to investors, may involve complex tax structures and delays in distributing important tax information, are not subject to the same regulatory requirements as mutual funds, often charge high fees which may offset any trading profits, and in many cases the underlying investments are not transparent and are known only to the investment mana
Risk Disclosure: Alternative
investment products, including real estate
investments, notes & debentures, hedge funds and private equity, involve a high degree of
risk, often engage in leveraging and other speculative investment practices that may increase the risk of investment loss, can be highly illiquid, are not required to provide periodic pricing or valuation information to investors, may involve complex tax structures and delays in distributing important tax information, are not subject to the same regulatory requirements as mutual funds, often charge high fees which may offset any trading profits, and in many cases the underlying investments are not transparent and are known only to the investment mana
risk, often engage in leveraging and other speculative
investment practices that may increase the
risk of investment loss, can be highly illiquid, are not required to provide periodic pricing or valuation information to investors, may involve complex tax structures and delays in distributing important tax information, are not subject to the same regulatory requirements as mutual funds, often charge high fees which may offset any trading profits, and in many cases the underlying investments are not transparent and are known only to the investment mana
risk of
investment loss, can be highly
illiquid, are not required to provide periodic pricing or valuation information to investors, may involve complex tax structures and delays in distributing important tax information, are not subject to the same regulatory requirements as mutual funds, often charge high fees which may offset any trading profits, and in many cases the underlying
investments are not transparent and are known only to the
investment manager.
In addition to being an
illiquid investment with an uncertain liquidity date, these
investments may have other
risks involving:
I try to weigh how much of my portfolio to carry in
illiquid investments, and then try to balance my real estate portfolio by various
risk factors (property type, location, sponsor, etc..)