Ambareen Musa, Founder and CEO of Souqalmal.com, talks about the risk-return trade off and how new investors can figure out their ideal investment strategy based on how much risk they can handle:
If you’re a new investor, the world of investing can definitely be a bit intimidating. You probably don’t know where to start, and the endless investment advice available online can easily overwhelm anyone.
But before you sign up for that 20-year investment plan or start tracking the stock market, the Souqalmal.com team helps you figure out what type of investor you are, and what should be your ideal investment portfolio.
How much risk can you afford to take?
Every investor wants to make money, but not everyone wants to take on the same level of risk. Based on the risk/return trade off, a high level of uncertainty is associated with higher potential returns, and vice versa. But of course, there are no guarantees.
Higher risk could also translate into a higher possibility of losing your money.
For full article go to Khaleej Times.