Principles of Successful Investing: How to Think About Investment Risk
We recently posted about the difficulty of timing the market and wanted to share the following video on how to think about investment risk. Some investors think about risk as the probability that the value of an investment will decline while others view it as the amount of volatility in their whole portfolio. In the video below, Mr. French defines risk simply as:
"Uncertainty about lifetime consumption."
When building your investment portfolio, consider your income and other sources of wealth to structure a portfolio that will reduce the uncertainty of meeting your own lifetime expenses.
We hope these videos continue to help you navigate the complex market of choices and decisions that investors are confronted with every day.
-EnRich Financial Partners LLC
Investment Advisory Services offered through EnRich Financial Partners LLC, a Registered Investment Advisor.
Investing in stocks always involves risk and there can be no assurances that these options will produce positive results. Consult your financial and tax advisor on these subjects. This material may contain forward or backward-looking statements regarding intent, beliefs regarding current or past expectations. Such forward-looking statements are not a guarantee of future performance, involve risks and uncertainties, and actual results may differ materially from those statements as a result of various factors. The views expressed are also subject to change based on market and other conditions. Furthermore, the opinions expressed do not constitute specific investment advice or recommendations by EnRich Financial Partners. Past performance is not a guarantee of future results. This content is provided for informational purposes and is not to be construed as specific investment advice.