|
||
What Type Of Investments Are Right For You?
Stocks You can also invest in stocks that you have interest in. Daily trading is when you watch the trends, the news, and everything about the market to trade your own stocks. Each day you buy and sell to make profit for the day. Over the long run you typically make the same as someone who lets their stock sit there through the ups and downs of business. But if you know what you are doing, you can definitely make more money over time trading daily. CDs A drawback to this is that you make less money over the long term than you would by investing in stocks or mutual funds. There is always a tradeoff. If you have any extra money, stocks might be the choice for the best growth. A CD is also a downer just because your money is stuck there for the period of time as stated in the contract you agreed to. If it lasts for 10 years, you cannot use that money for that long with penalties. It is almost like a retirement fund or 401-K in that aspect. It is even less liquid than stocks in a way. You should only put money into a CD that you will in no way need for the next 5 to 15 years. Bank Accounts The bad thing about putting your savings in a regular bank account is that it has very low interest. You make little to nothing each year unless you have millions in there. In that case, the bank is still the least profitable bet. Choose the best avenue for you. Financial gurus say that you should diversify. So put some money in the bank for emergencies, some in a CD for steady growth, and some into stocks for the best retirement. |
||
Copyright 2003-2020 by BusinessKnowledgeSource.com - All Rights Reserved
Privacy Policy, Terms of Use |