High risk High Return, a term often heard in investing. Everyone also has a different investment risk profile.
So, how much risk we can bear will determine what type of Mutual Fund is right for us. Based on the level of risk, types of mutual funds are divided into four:
Furthermore, are there any risks when investing in Mutual Funds? There are several risks we need to be aware of:
In essence, all risks that could potentially occur in Mutual Funds can be mitigated if we carry out good investment planning and management.
In addition, the right diversification principle is also needed to minimize risk. If one company experiences a loss, but you still have allocations to other companies that are profitable, of course it will not reduce your portfolio.
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