Frankly, if you will need the money in one year I wouldn't touch anything
riskier than a money market account.
But under certain conditions, they may be
riskier than money market accounts.
Not exact matches
Expansion is a
risky business endeavor that requires more time,
money, and energy
than your current enterprise, but once a business reaches a certain capacity, there are only two options: grow or die.
Investing in companies whose core technology is open - source is definitely more
risky than plowing
money into a business with proprietary technology.
Start - ups won't be less
risky because
money is more available — quite the contrary — and so more
than a few mom - and - pop investors are going to lose their shirts in crowdfunded start - ups.
While it's better to invest
than keep
money under a mattress, buying risk free securities, such as guaranteed income certificates or low - yielding government bonds, could actually be
riskier than purchasing higher returning products, says Ted Rechtshaffen, president and CEO of Toronto's TriDelta Financial Partners.
Previously, only accredited investors — wealthy people with an annual income of more
than $ 200,000 or a net worth of at least $ 1 million — were allowed to put
money into such
risky ventures.
If a home loan is more expensive
than that limit, it is considered
riskier for the lender as more
money is at stake.
Mr. Buffett is a forensic analyst of companies rather
than trends, and he usually opts for what he perceives to be strong, undervalued brands rather
than putting his
money into fast - growing, innovative — and
risky — firms.
I have less
than 5 % of my
money in this; my wife wouldn't let me go in with any more (too
risky she says).
Stein thinks the bank loan funds are more
risky than people realize because a person might try to get
money out of a fund and have difficulty.
We believe in long - term investing, but we don't want to put ourselves in a situation where we take more risk
than necessary by having
money slated for short - term goals in
riskier investments.
Similarly important are the returns that bond investors are willing to accept in financing governments, which is generally seen as a less
risky proposition
than loaning
money to commerce.
Losses in
risky assets will dissipate investor confidence, undermine economic activity, and leave the Fed with little choice other
than to step on the accelerator for more easy
money.
Also, putting a large amount of your
money into a single investment — like a house — could be
riskier than spreading your savings out across a portfolio of investments.
Historically, over long periods of time,
money invested in
riskier assets such as stocks has generally rewarded investors with higher returns
than funds invested in ultra safe and liquid assets.
It is also clearly less
risky than everyone randomly investing their
money.
That's less
than the 12.2 percent the city could have earned — another $ 1.9 billion — if it invested the
money in reliable, low - cost S&P 500 Index and Core Bond funds and avoided
risky, expensive hedge funds, private equity and real - estate investments.
Investors aren't just investing more
money than they were earlier in the year; they're investing a lot more
money in
riskier, earlier - stage companies.
Another option, though may be not as safe as CDs or
money market accounts, is high quality dividend paying stocks (always understand that investing in the stock market is
riskier than putting
money in bank accounts), some with more
than 5 % dividend yield at the end of 2010.
Callable bonds are more
risky for investors
than non-callable bonds because an investor whose bond has been called is often faced with reinvesting the
money at a lower, less attractive rate.
If our model predicts a higher loss potential
than you have specified for your portfolio, we will execute a reallocation from a
riskier asset class (such as stocks) into a lower risk asset class (such as government bonds or
money market funds).
Wary investors opened accounts to stash the
money they pulled out of
riskier products, while others decided the freedom of a TFSA was better
than the uncertainty of a standard mutual fund investment.
Lending to you is less
risky to some lenders
than loaning
money to someone with slightly damaged credit.
Although
money market funds traditionally hold their value at a share price of $ 1, there's no guarantee that the principal value won't deviate from $ 1, which makes the MMF
riskier than the comparable bank and brokerage account products.
With this on - going recession and low bank interest rates, I would rather pay my house which I have rented out
than put my
money in
risky investments.
These DTI requirements often mean that low - income buyers don't qualify for enough
money to purchase a home, or that DTIs are higher
than the recommended limits, making their loans
riskier.
At base, an absolute value discipline holds that you should not put
money into
risky assets unless you're being more
than compensated for those risks.
Historically, over long periods of time,
money invested in
riskier assets such as stocks has generally rewarded investors with higher returns
than funds invested in ultra safe and liquid assets.
And since they have been seen as only marginally
riskier than insured
money - market accounts, their popularity soared.
Is it
risky to trade your
money, do better
than the market, and protect yourself during recessions?
@Roger, I argue that bonds are more
risky than stocks today as they are almost guaranteed to lose you
money over the next few years.
Stocks Better
than Bonds in the Long Run Bonds, which are often seen as «safe» by investors who have never invested in the stock market, or those who have lost a lot of
money in stocks, are «
risky» in the long run owing to the inability of their returns (interest) to beat inflation.
Investing is more
risky than just stashing your
money in the bank, but it can pay off handsomely as well.
For a person who is very risk averse but wants to make a little more
money than the risk - free rate, the solution is not to invest completely in slightly
risky things.
This is on top of the problem that when high - quality long interest rates are so low, it is typically a bad time to try to make
money in financial assets, because returns on
risky assets are typically only 0 - 2 % percent higher
than the yield on long BBB / Baa debt over the long run.
There is also good data about buying when the market is as low as it is (which could be negative as in example # 1), but if you're a newbie to that, I would still suggest paying off the CC first (a good 20 % return on the
money, to your pocket and not to the CC company's) rather
than entering into a volatile (read
risky) market that you do not understand.
In a recent article in the online Wall Street Journal titled «Why Stocks Are
Riskier Than You Think», by Drs. Zvi Bodie and Rachelle Taqqu, I found a welcome respite from the
money managers» self - serving drumbeat.
Many people see them as less
risky than some other investments, but you can still lose
money.
Diversifying your assets is generally less
risky than concentrating your
money in one asset or asset class.
While debt consolidation might not save you as much
money, it can keep your credit score in tact and is less
risky than debt settlement or bankruptcy.
Here, the idea was to test whether people understood that a stock mutual fund contains many stocks and that investing in a large group of stocks is generally less
risky than putting all one's
money into a the stock of a single company.
The bottom line: If you have
money that you will need to spend in the next five years, you probably shouldn't own anything
riskier than short - term bonds.
This is your debt to credit ratio, and if you have used all of the credit available to you, lenders consider you
riskier than someone who has managed their
money better and kept their debt low in relation to how much they could be spending.
Putting too much
money in «safe» assets such as bonds and cash equivalents may be
riskier than you think.
While the benefit might give you peace of mind, it's not necessarily the best benefit if the
money you're receiving ends up being less
than what you could get from other, albeit
riskier, investment.
Some investments are
riskier than others — there's a greater chance you could lose some or all of your
money.
Frankly, this is probably less
risky than putting
money into a stock index fund.
When you routinely make
risky investments with the anticipation of a quick payoff, you may be gambling with your
money, rather
than investing for the long term.
The safest investment is probably a
money market fund [originally I said a TIPS fund but they appear to be
riskier than I had thought].