Risk evaluation (in relation to investments)

by Giana

When it comes to choosing an investment, there are some different factors that can contribute to whether the investment will be lucrative or not. Risk evaluation is the probability of you losing or gaining money on your investment. The main factor that will influence the risk of your investment and whether or not it will be rewarding is market conditions, including currency risk and political risk.

The risks you can take with your investments vary widely. The investments that have the lowest risk also give out the smallest gains, or none at all. The investments that have the highest risks have the potential to give out the biggest gains, but since they pose a higher risk, also have a potential for big loss. 

There are some things to take into consideration when you are trying to decide the amount of risk that you want to take with your investment. First, you should not be using the money that you need to live for investments. Depending on how much you have to invest, you might want to spread out your money into different investments, so if you do lose money, you will still have some elsewhere. Also, you might want to invest your money in different asset classes that have different amounts of risk (e.g., bank stocks, gold, real estate, cash and antiques). 

http://www.finra.org/investors/reality-investment-risk

http://www.finra.org/investors/reality-investment-risk

https://www.google.ca/search?safe=strict&biw=1366&bih=662&tbm=isch&sa=1&ei=eHkYW5irKoKwjwS2ooOgAw&q=market+risk+triangle+for+investing&oq=market+risk+triangle+for+investing&gs_l=img.3...42471.51459.0.51619.21.21.0.0.0.0.227.1590.20j0j1.21.0....0...1c.1.64.img..0.2.301...0i8i7i30k1.0.O9WZufaTA5s#imgrc=8YGyC9ZScr3mZM:

Hardbacon

by Riley

Hardbacon is app for buying and managing stocks. I don’t know how common buying stocks is with people now a days but the app seems simple and easy to use it is an apple devices only app right now. The app is very advanced and claim that it can set you up with something called a robo-adviser I’m not sure how helpful that may be compared to an actual person helping you. I think this app isn’t going to last it may be easily accessible and always with you but I think buying stocks is just too complicated for an app to handle. It is just smarted for people to do this kind of stuff face to face with someone. 

https://hardbacon.ca/

Stocks

By Natasha

A stock is a general term used to describe the ownership certificates of any company. A share refers to the stock certificate of a particular company, holding a company’s share makes you a shareholder. There are two types of stocks: 1. Common stock: common stock is shares entitling their holder to dividends that vary in amount and may even be missed, depending on the fortunes of the company. The main reason people invest in common stock is for capital appreciation. They want their money to grow in value over time. An investor in common stock hopes to buy the stock at a low price and sell it at a higher price at some point in the future. 2. Preferred stock: preferred stock is a stock that entitles the shareholder to a fixed dividend whose payment takes priority over that of common stock dividends. Preferred shareholders are legally entitled to receive a certain level of dividend payments before any dividends can be issued to other shareholders who have a common stock. There is also something like preferred stock that is called convertible preferred stock. This is basically a preferred stock with an option of converting into a fixed number of common shares, usually any time after a predetermined date. The stock market is a very important part of the economy of a country because it issues shares for the investors to invest in the stocks a company needs to get listed to a stocks exchange and through the primary market of the stock exchange they can issue the shares and get the funds for business requirements. Stocks offer the most potential for growth. American stocks have consistently earned more than bonds over the long term, despite regular ups and downs of the market. That’s why investing in in stocks, exchange traded funds (ETF), or stock mutual funds is important when saving for retirement or other far-off goals you need money for.

Stocks: https://www.investopedia.com/university/stocks/stocks1.asp https://www.investopedia.com/terms/s/stockmarket.asp

Index funds

by Carol-Anne

An index fund is essentially a mutual fund that invests in the stocks that are the basis of a well-known stock or bond index. To put it in simpler terms, it is a list of investments.   It is wise to choose an index fund because after funds are made to pay their annual management fee of about 1%.  Most of the funds managers cannot beat their fund’s benchmark, however; when it comes to Index funds, they usually carry a very low fee which is usually 0.02% per year.  Which is a lot less than the other fees for the competitors.  As well as, they are reliable when it comes to delivering the market’s average performance.  In other words, by aiming for the average; you actually have a better chance at beating the competing investors.  It is most likely that when you invest in the index funds, you will not fall below average and keep a somewhat steady market income. 

https://www.investopedia.com/terms/i/indexfund.asp