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It depends if the stock marketis good. Because if it drops and you have stocks you loose money.

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Q: Why are investments considered to be risky?
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What was speculation in the 1920's?

taking risky investments


How do risky investments influence businesses?

Risky investments make the company more vulnerable towards the market frictions. If the company is making risky investments - shareholders and debt-holders might require higher rate of return on their capital. Basically, the riskier the investment the more costly it is for the business.


What is the economic reason for making a risky investment?

An investment is considered risky if the probability of loss is high. However, risky investments can also produce dramatic gains. So if you want to speculate that a given risky investment will pay off, you have to balance that against the possibility that you will lose some or all of the investment. That's why rash or all-or-nothing investment strategies lead to ruin.


Why was stock bought on margin considered a risky investment?

Why was stock bought on margin considered a risky investment


What do many banks consider student loans risky investments?

They can't provide Collateral - Apex : )


Bank examiners are _____.?

authorized to force banks to sell off investments that they consider excessively risky


Which forms of investments are not risky?

Investments in the below instruments are not riskyGovernment BondsBank DepositsPost Office DepositsBonds issued by companies held partly/fully by the governmentGold & other precious metalsLand/Property


Why are stock market prices not to be trusted?

Stock market prices are not to be trusted because they vary from day to day and even hour to hour. They do not follow any traditional rules as far as investments are concerned. Stock market prices will go up a down depending on the performance of the Company that is being invested in. There are no guarantees for return for the stock market and therefore are considered risky investments.


How risky are hedage funds?

Hedge funds are considered a risky investment. The reason they are considered risky is because they are a type of fund that is not regulated.


Are stock markets very risky?

Stock markets can be risky. It depends on how you invest. For example, many financial advisors would suggest a diverse portfolio that includes stocks, bonds, and other investments. Diversification minimizes the risk that is inherent in investing.


How risky is mutual fund investment?

They are as risky as stock market investments. The only good thing here is the fact that, the fund is managed by experienced professionals, therefore the chances of making a profit are better compared to us investing in stocks directly.


America's businesses and investments in Mexico are considered what?

Foreign investment.