What’s Your Risk Profile??
Risk Versus Return
Investing depends on your risk profile and for some the lower interest rate return of a more secure investment is the best option while for others they may need to take a more risky approach or have the confidence to do this from their background and experience. Often the best strategy is to have a balanced mix of investments.
“Can I sleep at night?”
A good test that you have the right risk return profile is to ask yourself the question “Can I sleep at night?” If your investments are causing you anxiety then it is time to rethink your investment strategy.
“Under the mattress”
Ironically the most risky strategy can sometimes be the most conservative “under the mattress” approach as inflation can quickly erode your hard earned savings.
Fixed Interest Rates and Bonds
For those seeking a higher yield than the banks offer with only a moderate amount of risk, fixed interest and bonds are a good option. For those willing to take on more risk the secondary market for fixed interest investments now represents some very attractive rates.
Click here to find out your risk profile.