Risk...

When people say "investment in stocks and mutual fund are very risky" and you see tag-lines after every stocks/equities related advertisements like "Mutual funds are subject to market risk, please read the offer document carefully before investing", one must understand the reward that one is willing to receive after taking the risk.

There is always a 'risk-to-reward' ratio attached to any given financial instrument. Speaking broadly risk is not only attached to financial instruments but also it is linked to our day-to-day activities. 

Like waking up in the morning (falling from bed is a risk), taking a bath (slipping and falling in the bathroom is a risk), ironing your clothes (electric current is a risk), travelling to office (accident is a risk), walking in rain (hitting by lightning is a risk), working at office (natural calamities like earthquake is a risk) so on and so forth. We never pay attention to such risks, even if they are much larger than that of your investments in equities, bonds, mutual funds etc. 

Media always broadcasts the negative aspect of the markets. Words like blood-bath, huge plunge, sledge hammered, bears take charge, bloody Friday etc are always associated when markets fall for a day or a week. People too, only tend to remember the negative aspect of the news. But one should understand that this risks and market falls should be capitalised by managing them thoughtfully.

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For investments, contact: 

              Samarth Holdings

Address: Office 201, 2nd Floor, 

              Trade Net Building,

              Viman Nagar 

              Pune.

Mobile:   +91-9561733111, 8805111007

Email:     samarthholdings@aol.com

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