Whether it's saving for retirement, a new home, or planning for your child's college expenses, you’ll need a clear investment strategy. There’s a few different categories to consider, depending on your goals.
If you don't have the time or the resources to research and maintain a broad mix of individual securities, mutual funds are a good option. You can rely on professional managers to work on your behalf.
ETFs are low cost, tax efficient, and liquid vehicles through which you can invest in a basket of securities that mimic exposure of the overall market or a specific segment of it. If suitable and meets your investment objectives, you can trade them on your own like any other stock.
Some annuities offer guaranteed returns, while others allow you to invest in the market. Most annuities offer options to create a stream of income.
These plans are meant to help you save for many different forms of education. Some versions allow you to lock in current tuition rates. Others provide tax-advantaged savings on contributions and withdrawals for education-related expenses.
About risk: There are risks involved with investing in any such products, including the possible loss of principal. Investors should be willing to accept a high degree of volatility and the possibility of significant losses.