Is there such a thing as zero risk investments ?

All of us who invest would like to get the most return without risking our money. However, very few companies offer ZERO risk; That is why it is important to be informed.

Here I share some of the risks that you should consider when investing:

πŸ“Œ Inflation: If the investment rate of an economy grows, the return on investment could be negative and this causes our purchasing power to drop.

πŸ“Œ Legislative: It is a risk that falls on governments since they are the ones who have the power to change laws. That is why it is important to invest in politically and economically stable countries like Canada πŸ‡¨πŸ‡¦.

πŸ“Œ Interest rate: It is a systemic risk, it becomes especially noticeable in fixed income investments, such as bonds or preferred shares.

πŸ“Œ Credit: It happens when the entity in which you have invested the money cannot meet its obligations. For example, when you invest in a cooperative and it goes bankrupt.

πŸ“Œ Liquidity: Sometimes we don't sell assets as quickly as we want and that forces us to lower the price, even at a loss.

πŸ“Œ Non-systemic: This type of risk does not affect the market as a whole, only the company. For example, the imposition of a tariff in the country of destination would be a non-systemic risk for a company that exports.

πŸ“Œ Systemic or market: It is a type of risk that affects the market as a whole. For example, wars, COVID, economic crises, among others.

πŸ“Œ Taxes: In Peru or abroad, investment earnings are not exempt from taxes, they could be subject to an effective rate between 5% to 30%. This causes the final profit to be less than we expected.

There are few companies that guarantee 100% of your invested capital, but there are; one of these companies is CCO Investments πŸš€.

Have you considered any of these RISKS?

#Inversiones #CCOInversiones #CesarCelis #InversionesLatam #InversionesPerΓΊ #Investments

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