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Investing
Go out into your yard and dig a big hole. Every month, throw $50 into it, but don’t take any money out until you’re ready to buy a house, send your child to college, or retire. It sounds a little crazy, doesn’t it? But that’s what investing without setting clear-cut goals is like. If you’re...
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When it comes to investing, many people associate risk with losing money. But investing entails different types of risk. Understanding each type — and the potential return associated with your retirement portfolio —┬ácan help you determine whether your investments are appropriate for your situation. Examining Risk and Return Stocks historically have exhibited the highest level...
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Few terms in personal finance are as important, or used as frequently, as “risk.” Nevertheless, few terms are as imprecisely defined. Generally, when financial advisors or the media talk about investment risk, their focus is on the historical price volatility of the asset or investment under discussion. Advisors label as aggressive or risky an investment...
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