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There are times when you should use other products besides stocks. When to avoid stocks?

Tan KW
Publish date: Fri, 28 Jun 2013, 01:32 PM
Tan KW
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Good.

 

 

Investing in stocks is not always the best answer for a financial goal.  There are times when you should use other products beside stocks.

Investing in stocks to meet short-term goals is usually not a good idea.  Do not use stocks for any goal that is fewer than five years from completion.  Any financial goal you need to achieve in fewer than five years is exposed to a risk that the stock market will swing to the downside just when you need the money.  The best plans can be sabotaged by a volatile stock market over the short term.

As you approach retirement, you will want to dial back your exposure to stocks and move into safer alternatives.


 

 

 

Discussions
2 people like this. Showing 5 of 6 comments

Micheal Teo

In my personal opinion its best to diversify-30% in shares,30% in property n 40% in FD or Govt.bonds.

2013-06-28 17:00

newbiestock

that is a funnie portfolio. i think u don no anything about stock micheal to me stock market like casino enjoy make $ and then chow

2013-06-28 18:05

King Kong73

Shares ok as long as u can sell to the next punter who thinks he can sell higher

2013-06-28 22:18

sephiroth

play stock is very extremely exciting fun game and easy money when you do your homework

2013-06-28 22:56

tonylim

Septhi ... and hv the time. I am a great advocate of prop investment. I hv seen many who made heaps in stocks only to become a pauper 2 yrs later

2013-06-28 23:07

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