Types of Investment Risk
Business Risk
Diversify your investments among the major asset classes: stocks, bonds & cash.
Inflation Risk
Invest in equities to prevent the erosion of your purchasing power due to inflation.
Volatility Risk
Hold your investments for the long term to ride out the short term ups and downs of the market.
Market Risk
Diversify your investments among the major asset classes: stocks, bonds & cash.
Interest Rate Risk
Create a "ladder" portfolio using different maturities.
Currency Risk
Diversify among countries; use a hedging strategy.
