Freddie Andalaft: Understanding the Major Types of Investment
In this blog post Freddie Andalaft wants to share Major Types of Investment. Here are the types of Investment.
Ownership
Considered by many to be the most “high risk, high reward” type
of investment, Ownership Investment can include investment in stock,
businesses, real estate properties, and even precious objects (sports
memorabilia, jewelry, antiques, etc.).
Lending
Lending tends to be a lower risk type of investment, often
coming in the form of bonds that pay a set amount of a certain period of time
regardless of the success or failure of the issuer itself. Having a savings
account, believe it or not, can also be considered a type of Lending
Investment.
Cash Equivalents
Perhaps the most well-known type of Cash-Equivalent investing
are Money Market Funds, those with “low risk, low reward” characteristic. As Freddie Andalaft know, money market funds can produce high
rewards, but such instances are quite rare (also known as “Black Swan Events”).
For more information visit:
Comments
Post a Comment