Low risk dating strategy
On the other hand, you’re more likely to lose money, and more likely to lose big.
A conservative portfolio can seem enticing, especially if your first experience with finance was the 2007 stock market crash.
An investment portfolio usually consists of a variety of financial vehicles, including money market funds, certificates of deposit (CD’s), bonds, and stocks.
Money market funds and CD’s are super-safe investments.
So how should you balance a fear of risk with a need for good returns?
So what do conservative, balanced, and aggressive returns look like?
Millennials are way too conservative (well, financially speaking, at least).
According to a 2016 Wall Street Journal analysis, twentysomethings’ most common money mistake is investing too conservatively, putting too much money into cash and bonds and not enough into equities.
But the difference is still striking, and a pretty compelling reason to focus heavily on equities so that your money grows as much as possible.
Like we mentioned at the top, millennials have every right to be wary - the Great Recession’s impact still echoes through most of our bank accounts.