Investment and Funds

minimize the risks entailed in business activity

Saving money to invest in a future goal is a rewarding experience. There are many investments that are available, each of which offers a potential return which can beat inflation. It is important to think about the various types of investments and how they fit with your overall financial goals and your level of tolerance for risk.

Funds and investment

A fund is a group investment in which your and other investors’ money is pooled and then invested in a variety of assets. This spreads the risk since you don’t have to rely on the performance of a single type of asset. For instance the UK equity fund would be comprised of shares from different British companies.

However, you can also find funds that provide a range of different types of assets, or even more specific areas. There is a fund for every investor, no matter the level of their expertise or investment timeframe or their risk tolerance.

Bond funds are a well-known choice of investment. They are a mix of IOUs, or debt, typically issued by companies or governments. They can be less volatile than stocks. However, they may be affected by interest rate changes and the credit rating of the issuer.

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