Effective diversification involves using a variety of
investment securities. This
section gives you the basic information you should know
about the most common types of investments. This may help you be better educated and
informed about the investments you own or the investments that you may want to consider.
The reason diversification is so
important is primarily because investments act and perform very
differently. Some securities may make 10% per year, others may only
make 5%, while others may lose money. Performance cannot be
guaranteed and no one has that crystal ball which will predict how a given
investment will perform over the next 1, 3, 5, or 20 years, so we rely on
diversification to protect us from unnecessary risks and give us less
volatile overall performance.
Stocks
- classifications, kinds, stock orders, exchanges
Bonds - types,
convertibles
Options
- puts, calls, valuation, interactive charting
Mutual
Funds - types,
closed end
Real
Estate Investment Trusts
Variable
Annuities
If there are other securities that you would like
information on, please contact us and let us
know!