Sentences with phrase «risk of losing principal»

This allows you to participate in the financial gains of a major stock index, with no risk of losing your principal — the S&P 500 is one such example.

In contrast, it's easy to start a savings account right now for amounts as little as $ 10,000 that currently yields 1.2 %, and with almost zero risk of losing principal.

Any speculative investments that expose you to greater - than - average risk of losing principal, such as penny stocks and high - yield bonds

That means they run a greater risk of losing some principal.

That's why investment professionals typically recommend investors take a long - term approach to investing to reduce the risk of losing principal.

Two - thirds of respondents would consider buying products with guaranteed returns, 50 % want a minimal risk of losing their principal, 38 % want low or no fee investing while 33 % want an investment with a good track record.

Not exact matches

Instead of the usual investment risk of your principal decreasing in value, with cryptocurrencies, you may lose your crypto assets entirely.

Another example would be a young widow with small children receiving a lump - sum settlement from her husband's life insurance policy and can not risk losing the principal; although growth would be nice, the need for cash in hand for living expenses is of primary importance.

The three main types of risk are inflation risk, which is the risk that your investment might not keep pace with inflation; market risk which is the risk that a market may go down in value; And principal risk, which is the risk of losing money that you invest.

Model 1 - Preservation of Capital Asset allocation models designed for the preservation of capital are largely for those who expect to use their cash within the next twelve months and do not wish to risk losing even a small percentage of principal value for the possibility of capital gains.

The risk with this type of fund is the possibility of losing the principal invested in the bond.

The higher the loan - to - value ratio, the more risk the investor might lose a significant amount of their principal investment in a downturn.

The Regents tabled a proposal that would have offered more protection for teachers and principals who could risk losing their jobs as a result of Common Core - based tests after Cuomo blasted it.

Under the Regents plan, which was tabled under pressure from Cuomo, teachers and principals who were at risk of losing their jobs because their students performed poorly on new, harder exams would have an additional defense at their disposal during disciplinary proceedings.

Any superintendent, principal or school administrator who requires or allows a «Sit and Star» policy to exist risks losing their certification to work in a Connecticut school as a result of Connecticut State Statute 10 - 145b (i)(1).

In addition, superintendents, principals or other school administrators who require or permit students who have been opted out of the SBAC tests, to remain in the testing room risk not only losing their certification to work in Connecticut pursuant to Connecticut State Statute 10 - 145b (i)(1), but they have violated their duties under Connecticut State regulations that require school administrators to adhere to a Professional Code of Conduct.

They try to minimize the chance of losing any of their principal, but as a tradeoff to taking fewer risks, they have a lower potential return.

Bond investments are subject to interest rate risk so that when interest rates rise, the prices of bonds can decrease and the investor can lose principal value.

Risk can be defined as the probability of losing your principal.

The risk that matters is the risk of permanently losing your principal.

This measurement of risk is the amount of portfolio principal (capital) lost from a high to a low.

Think abt it, how often do you have an investment where your main concern realistically is the risk of a lower IRR over time, rather than losing a substantial slice of principal?

All I'm discussing in this post are very low - risk investments, where you are guaranteed not to lose any of your principal (original investment).

However, in doing so, you may lose part of your principal due to market risk (interest rate fluctuations from the time you purchased the CD).

These include market - linked GICs and principal - protected notes (PPNs), both of which promise a chance to profit when stock markets rise without the risk of losing money in a downturn.

If you cash the bill in earlier, you risk losing a portion of the principal.

Stocks investors should weigh the potential risk of loss of principal against the risk of not meeting their investment goals or of losing purchasing power to inflation.

Credit Risk: The Fund could lose money if the issuer or guarantor of a fixed income security, or the counterparty of a derivatives contract, is unable or unwilling (or is perceived to be unable or unwilling) to make timely payment of principal and / or interest, or to otherwise honor its obligations.

The biggest risk for this type of investor is the risk of default, because not only do you lose the income from the interest, you also potentially lose the principal on the bond, and whatever principal you'll receive will be the result of legal proceedings.

Your willingness to accept risk (i.e. how comfortable you are with the possibility that if you purchase a riskier investment you could lose some or all of your principal).

Investments in variable annuities by definition involve market risk and the possibility of losing principal.

If the investment offers a sky high rate of return but there's a good chance to lose all your principal, you might want to pass if you have a low tolerance for risk (or possess common sense).