Five financial instruments that can be compared for investment are stocks, bonds, mutual funds, ETFs and savings accounts based on their return, safety, volatility and liquidity. Stocks provide higher returns but also higher volatility and less safety than bonds or savings accounts. Mutual funds and ETFs offer diversification and varying risk levels depending on their underlying investments. Savings accounts have the highest safety but lowest returns of the group.
Five financial instruments that can be compared for investment are stocks, bonds, mutual funds, ETFs and savings accounts based on their return, safety, volatility and liquidity. Stocks provide higher returns but also higher volatility and less safety than bonds or savings accounts. Mutual funds and ETFs offer diversification and varying risk levels depending on their underlying investments. Savings accounts have the highest safety but lowest returns of the group.
Five financial instruments that can be compared for investment are stocks, bonds, mutual funds, ETFs and savings accounts based on their return, safety, volatility and liquidity. Stocks provide higher returns but also higher volatility and less safety than bonds or savings accounts. Mutual funds and ETFs offer diversification and varying risk levels depending on their underlying investments. Savings accounts have the highest safety but lowest returns of the group.