Investors have a variety of options for their investments, each with a different level of risk. For instance, stock values fluctuate a lot more than bond prices. Because investments with more risk often provide better returns.
- A savings account is the investment category that normally has the least risk.
- The least dangerous investment categories include certificates of deposit (CDs), bonds, and money market accounts.
These three groups are:
- Aggressive. Investors who take big risks are experienced in the market and are considered to be aggressive. When compared to investors who take on aggressive risks,
- Moderate risk takers exhibit a lower level of risk tolerance.
- Conservative. The least risky investors in the market are the cautious ones.
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