Topic: it's so risky! - page 9. (Read 1004 times)

Investment is all about risk taking, but in a manageable way. For example if someone is putting money on an asset, lets consider the asset as a crypto altcoin, then he/she should get as much knowledge about that asset as possible before making their mind to invest in that particular asset. If you have done your research professionally and you are sure that the risks involved in that particular coin are minimum as compare to others then take the risk and put less than 10% of your savings into that asset.

You should keep in mind that investing 80% of your savings is not a good choice, and even if you have done your research on an asset fully, you should still not invest more than 1/10 of your saving into that asset. Instead of investing 80% on a single asset you should divide your savings by 10, and put 10% on all those assets that you have researched well, and you have come to a decision about those assets that they are going to give you positive outcome.

As you asked whether risk taking is important of not, it's definitely important without it you won't be financially stable even if you work 24/7, as well as on holidays. It's a mandatory requirement for those who want to be free from financial issues, but like I previously said, you should only take risks when you can manage those risks very well, otherwise you will invite problems into your life by putting your money into an asset that can go down anytime, that means you have lost your capital entirely.

Many months ago I found a video uploaded by a fake guru where he was encouraging his viewers to invest on shit coins that had no value. He gave them examples of Dogecoin, and Shiba Inu and was saying that those who invested in those two coins earned millions from their investments. His main intention was to inspire those innocent people to put their money on those shit-coins that have very high supply and low market cap. That video went viral and got more than 10k plus views in its first week.

In that case many of those innocent viewers might have taken the risk of putting their money on those useless shit-coins that could go to zero any time, and those who after becoming inspired from that video if invested in any of those coins have definitely lost their savings. The unfortunate thing was that after just a month of that video the market crashed and many altcoins (the valuable ones) have lost their value. Those shit coins might have gone to zero, and those innocent investors who were not knowledgeable about those coins might have lost most of their savings.

Taking risks is part of the journey of an investor. If you aren't comfortable taking risks, investments aren't for you. Even the investments considered to be safe and guaranteed involve risks that can't be avoided at all, like investing on saving accounts or properties.

However, you can't grow in financial life without risking yourself. You can live a safe life, using your economies and income to pay only for instant pleasure, but only investments can return long term sustainability and fullness to your life.

Learn how to deal with the possibility of taking risks without harming your mental health and learn how to invest your money wisely, so you decrease losses chances. I guess this is the only way if you want to thrive and increase your patrimony, having access to more comfort and life quality futurely.

Investing 80% of your savings is very huge, like you said you have fear for losing money. Every investment has it own risk , it will be proper if you want to start to invest, start with an amount you  can afford to lose.  With your kind of person do not start invest with 80% percent of your savings because you  never can tell what will be the outcome of  your investment.  Do not rush  into big investment,  start with the amount you can afford to lose, this will help you to learn and help you to get rid of fear of lose.

The only good thing about the quality you have is that you are careful and sure about the investment you enter. That kind of behavior is okay,
you don't just get carried away by the hype.

But I also just want you to know that as an investor you must also be a risk taker, those who are not risk takers cannot because most of the people who have been successful here in the crypto business are also risk takers. The investment you put out here should be something you are willing to lose so that you can achieve the profit you did not expect.

It is generally not considered wise to invest all of your funds in a single venture, be it real estate or any other business, as every business carries inherent risks. Cash is often referred to as "king," and diversifying investments to take advantage of different opportunities is a common strategy. This includes preserving fiat currency in various forms such as cash, stable coins, and bank deposits, to ensure liquidity and mitigate risks associated with any one investment.

Get clear knowledge before investing and also have in mind that good thing always comes after striving for it
I remember the first time I heard about bitcoin after it was introduced to me by a friend in have to look clearly into it is dedicated my time to it i other to understand the trade market also was another thing I have to look into although it is explained to me to be risky but I had in mind of bearing without risk that comes but today I have come to realize the reward of being patient and also given attention to what's new to you neglecting it difficulties at first

Which asset are you particularly talking about? I can decide to buy a car that I want to use for taxi driving. After buying the car, if I don't want to do the taxi driving myself, I could hire someone who can handle the business for me. In that case, the tax is your asset because it would be generating income.

There are more instants to set, but before you invest in any asset, you must weigh the risks that are involved, as there is no investment that has zero risk.

Well, I don't know of others, but during a person's early state of taking some financial decisions about investment, you would always have this fear of losing. If the person truly wants to have a financial breakthrough, you will have to kill your fear and take the risk, but my advice is to go for low-risk investments. We have real estate, businesses, gold, and stock, and some companies allow individuals to buy small shares in the company. Is good to take risk but before taking any investment risk, you need to also evaluate it, to know if the outcome is what you can handle if things go wrong.

Having a clear knowledge about a product before investing into it is the most paramount thing in investments. There are assets with ROI of higher percentage but sometimes their longevity or even risk involved in it are also way higher like stock and cryptocurrency. If the 80% is from your total income and the particular asset to invest in is bitcoin or cryptocurrency at large then I would say it is quite high. Even if you have made up your mind to invest that amount then it would be better to diversify your portfolio. This portfolio shouldn’t in any way include Alticoins because they are way too risky to be used as am investment tool. As for bitcoin your percentage should be within 20% to 30% as this will give you the ability to hold for long

Certainly risk taking is sometimes what differentiates the successful rich people and the poor. But this are calculated risk and not risk taking because of fear of missing out on a project.

I agree we should be very cautious when it comes to investment.  We must do our own research thoroughly and not just invest to anything we think abruptly.


If this is the amount you can afford to lose then go for it.  Just make sure that you have knowledge prior to the asset you are investing.  As I stated, research deeply both on the company or the asset, and its market trend.


Risk is part of investment but it is minimized if not nullified by risk management.  It is better to know how to maximize the risk management effect to our investment.  One cannot escape risk when investing but he can minimize it through risk management.

You can use this guideline published on the internet for risk management.

Step 1: Identify Your Risks
Step 2: Analyze All Risks
Step 3: Evaluate and Prioritize Every Risk
Step 4: Treat Your Risks
Step 5: Monitor Your Risks

You can read the explanation in this site: https://reciprocity.com/blog/5-step-risk-management-process/.  The site includes Risk Managment Methods and processes and Risk Management standards.  It is helpful if we wanted to know more about risk management.

Investing is all about taking risk, if you can’t handle it then at least lessen the risk.
Investing should not be your savings especially if its with crypto, because making profit here is not guaranteed at all. Do continue analyze the market and take whatever you can because at the end of the day your investments will always depend on your risk appetite, so take whatever you can afford.

80% is a lot of portion of your savings. Answer the question first if you're willing to lose that? By having that confidence that you're okay to lose that money because investing isn't guaranteed for everybody to earn.

Yes, no risk - no gain.
That's why taking risk is important, it is also teaching you on how to be a better person because you'll have the guts to do the uncertain. But once you're done with it, it's almost certain that you can invest in everywhere and can calculate risk that you might take in the future.

Not everything is worth investing in. Investment is meant to be done in something you see potential in. If you invest wrongly, those investments turn out not to be investments but wasted and misused resources.

It's true that the higher the risk, the higher the return, but that doesn't mean you should invest all you have into something that you are not sure of; if something happens to those investments, you might be in a very bad state that will be hard for you to come out of.
Do your own research, choose things of interest, invest only what you can afford to lose, and don't be deceived by greed for a higher return.

I don't invest money easily in any asset because of fear of losing that money. i think of investing 80% of total savings.
do taking risk is important or not?

please quote all question and answer it's very helpful for me and others.