Investing is just like everything in life – for every upside, there’s a potential downside. If you’re ready to start investing, you need to understand the types of risk you will face as well as potential returns. First, evaluate your own needs and goals, and then decide how much risk is right for you. To do this, you need to understand the various types of risk and what they mean.
Here are some common types of risk associated with investing:
How much risk can you tolerate? Ask yourself this: Are you willing to tolerate more risk for a higher potential return? Or, would you rather have a consistent return that emphasizes quality with less risk? There are several factors to consider as you think about your level of risk tolerance:
Over time, your risk tolerance and financial goals are likely to change. It’s important to talk with an Investment Advisor Representative to make sure your investment choices evolve along with your objectives. If you’d like to build a portfolio that can produce the returns in keeping with the amount of risk you’re willing to assume, contact a Uwharrie Investment Advisors Representative.
Uwharrie Investment Advisors is a subsidiary of Uwharrie Capital Corp and an affiliate of Uwharrie Bank.
Retail brokerage and insurance products are offered through Private Client Services, LLC (2225 Lexington Rd., Louisville, KY 40206; phone: 502-451-0600). FINRA and SIPC member. Operates under the marketing name of Uwharrie Investment Group. Private Client Services, LLC and Uwharrie Capital Corp., along with their affiliates and subsidiaries are separate, distinct, and unaffiliated entities.
Securities and insurance offered are not bank deposits, not insured by the FDIC or any other state or federal government agency, not obligations of or guaranteed by any financial institution, and are subject to risk and may lose value. Risk(s) will vary depending on investments made by the client, a Uwharrie Investment Advisor Representative will review these risk(s) with the client prior to investing.