The True Risk of Investing: Understanding the Types of Investment Risk

So many people are weary of investing right now because of everything that has happened with the economy recently. I think a lot of the trepidation has been driven by the sensationalist media coverage. The Dow dropping 500 points in one day becomes a front page headline and people who have no clue what they’re talking about ramble on about double dip recessions and the decline of America. The next day the Dow rises back to where is was the day...

Financial Spread Betting Explained

For those with an appetite for risk, there are a wide variety of derivatives that you can trade. When traded as a speculative investment, rather than as a hedge, they can be extremely high risk. Just ask JPMorgan Chase who lost well over $2 billion this month from trading naked credit default swaps. On the other hand, derivatives have tremendous upside potential. But upside potential isn’t everything – the lottery has a great upside as well!...