Investment Products
These come in the form of stocks, bonds, mutual funds, real estate, precious metals, insurance, commodities, etc. The reason people choose one form or another is distinct as each is designed to satisfy a particular need.
-Stocks offer dividends and capital appreciation. -Bonds are much safer than stocks and offer a safe return on the money invested.
-Mutual funds may be seen as less risky than stocks. -Investment in real estate could be for capital appreciation, to earn rent or for self-accommodation. -Insurance is used as a security.
-Precious metals like gold and silver appreciate over time and are therefore a good hedge against unforeseen political uncertainties.
Thus each investment product has different distinct characteristics and each is designed to satisfy a peculiar need. Each is designed to do something different.
