Of course, my good friends, so far you have been asked the following questions:
1. Can only “risky" people invest in the stock market, or is it possible for “risk-averse" people to invest in the stock market?
2. Is the stock market just for professionals or can non-professionals invest in the stock market?
Note this photo:
You can easily understand the answer to the first question in the diagram above. This chart shows the appropriate methods of investing in the stock market based on the level of risk-taking of individuals.
As shown in the chart, people who are not at all willing to take risks can buy on the stock exchange, participation bonds or lease bonds, because the profit is guaranteed. People who are a little more risk-averse are likely to prefer investing in mutual funds to buying bonds and leases, as they will be able to earn more than they can afford. Investors who are more risk-averse than the previous two groups prefer to buy stocks of companies directly themselves, as they are likely to make more profit in exchange for accepting the risk, and in the end, people who are highly risk-averse, they can invest in future contracts.
If you are unfamiliar with concepts such as a mutual fund or future contracts, do not worry at all. We will talk more about this in future tutorials. For now, the goal is to answer the first question of whether the stock market is suitable for “risk-taking" or “risk-averse" individuals. With these explanations, the answer to the question became clear: All people with different levels of risk-taking have the opportunity to invest in the stock market.
As is clear from the chart, people with the least expertise can enter the stock market by buying bonds or leases or investing in fixed-income investment funds. Those with more expertise can choose the fund that is best suited to invest from other investment funds.
This group of investors can also use the dedicated portfolio services that we will fully explain in future plans. By increasing people’s knowledge and understanding of how to evaluate corporate stocks, investors can directly buy and sell corporate stocks.
In addition to all the options mentioned above, highly specialized and professional people also find investment skills in high-risk tools such as futures contracts and so on. However, the answer to the second question is yes.
Published and authored by FalconProfit.com
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