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How to Determine Your Investment Risk Tolerance Level

WiserAdvisor

Investment and risk are two closely related concepts. Risk refers to the potential for loss or negative returns when you invest your money in a market-linked security. There are different types of risks, including market, credit, inflation, and liquidity risk, among others. What is risk tolerance?

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5 Key Components to the Retirement Bucket Strategy

Integrity Financial Planning

The Risk Bucket. The retirement bucket strategy refers to the idea that your retirement savings can be separated into three buckets, one of them being the Risk Bucket. The Safe Bucket often refers to assets that may not have a great upside but don’t have as much of a downside. The Safe Bucket. The Spend Bucket.

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Portfolio Income And How To Earn It

Clever Girl Finance

Below is a brief overview of the other two types of income for your reference: Earned income is the money you earn from working (exchanging time for money), such as wages from a job or income from your small business. At the same time, you lower your exposure to the risks of each. Risk tolerance is simply a preference.

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7 Streams of Income of Millionaires (According to IRS)

Good Financial Cents

Understanding Multiple Streams of Income Multiple streams of income refer to having multiple sources from which money flows into your life. Diversifying your income through multiple streams is not only about mitigating risk, but it also allows you to tap into different income opportunities and maximize your earning potential.

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Maximizing Your Idle Cash: Strategies for Personal Finance Management

Harness Wealth

Fixed Income: CDs, Bonds, and Laddering Another option to consider when managing idle cash are fixed-income products, such as certificates of deposit (CDs), bonds, and laddering strategies. For more information related to money market fund expenses, refer to each fund’s prospectus. Tax services provided through Harness Tax LLC.

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12 Highly Liquid Investments To Have

Clever Girl Finance

The downside to highly liquid investments 12 Highly liquid vs short term highly liquid investments Expert tip: Know your risk tolerance When does it make sense to pursue a liquid investment? You may also hear highly liquid investments referred to as cash equivalents. What is the most liquid investment?

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How to protect your Cash

MainStreet Financial Planning

You should always review your account agreements with each institution and understand the risks associated with the investments. SIPC refers to this as “separate capacity”, for example, individual, joint accounts, or trust accounts. Accounts held in the same capacity are combined for purposes of the SIPC protection limits.