Is there such a thing as risk free investments? How about very low risk investments? After all, who wants to put their personal money at risk of never being seen again?
Unfortunately, there is no investment that is absolutely guaranteed to be a zero risk investment. Even when you put your money in a bank savings account there is a very low risk of losing it. Of course the bank would have to go out of business, but even then, our money that we put in the bank is backed and refundable by our government. Only if our government went down, then we would lose our money.
By now, maybe you can see where I'm heading with this. There is always going to be a risk no matter where you decide to place your money. However, it is entirely up to you as to how high or low that risk will be. The goal here is to put your money in the lowest risk investments possible.
The bigger question here is, can I put my money in a very low risk investment and still gain a large amount of interest in a short period of time? The answer is, "YES!" You have to do your research, but low risk, high return investment opportunities are absolutely out there.
You want to put your money in a place where it compounds interest in days and months, not years. After all, who wants to wait twenty or thirty years to compound a decent amount of interest on their money. By then, we will be so old we can't even enjoy it.
Another thing is this, you want to be able to receive your initial investment back quickly so you can turn around and invest it again. You never want your investment capital to just be sitting around for years waiting to build up interest. What if, by some off chance, something called real life happens and you need access to that initial money you invested and maybe even to some of your interest you gained on it?
On that note, you never want to make an investment where you receive any kind of penalties for needing to use YOUR money. That is an example of a medium to high risk investment in my book. Any investment where you can't have access to your money immediately and where you cannot pull out your money without being penalized is not worth the risk. The whole point of investing is to be able to use and enjoy your money whenever and however you please.
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