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Investing 101 Risk vs. Return Double Time Profit earned on an investmentProfit earned on an investment.

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Presentation on theme: "Investing 101 Risk vs. Return Double Time Profit earned on an investmentProfit earned on an investment."— Presentation transcript:

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3 Investing 101 Risk vs. Return Double Time

4 Profit earned on an investmentProfit earned on an investment

5 Period of time for an investmentPeriod of time for an investment

6 The amount that is agreed to be paid in return for the use of a certain amount of moneyThe amount that is agreed to be paid in return for the use of a certain amount of money

7 Amount of money you invest to make moneyAmount of money you invest to make money

8 People coming together to buy and sell investmentsPeople coming together to buy and sell investments

9 Chance that you will commit your money and not get it back- when you need itChance that you will commit your money and not get it back- when you need it

10 Chance that the money you have saved or invested will not keep up with the cost of livingChance that the money you have saved or invested will not keep up with the cost of living

11 Chance that your investment will lose value because of a decline in the marketChance that your investment will lose value because of a decline in the market

12 Best way to reduce risk

13 Lower risk investments = this type of returnLower risk investments = this type of return

14 Return

15 Term

16 Interest

17 Principal

18 Market

19 Liquidity Risk

20 Inflation Risk

21 Market Risk

22 Diversification

23 Potential for lower returnPotential for lower return

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