The possibility of losing money or not gaining as much as hoped for.
Risk is considered to be part of investing.
Investments with little or no risk, such as money market accounts, typically provide the smallest financial rewards. It can be further diversified within these choices including aggressive growth stocks and more conservative equities as well as bonds of different maturities. A long-term game plan to achieve financial objectives such as paying for the college education of your children, purchasing a vacation home or providing a retirement nest egg. Reaching financial objectives depends on length of time and the makeup of the investment portfolio. Such investments grow faster than if they were taxable.