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Investment Risk and Volatility

Volatility and risk are different concepts, but both have a role in determining your investment success.

Volatility is simply how much the market will increase or decrease, whereas risk is the amount of loss or gain you are willing to accept. The volatility of your investments is often a result of the level of risk you are willing to accept. During periods of market volatility, it is important to stay focused on your asset allocation goals according to your predetermined risk profile.

Volatility is simply short-term instability that can affect all investments, including good equity funds, because of fear generated in the markets.

 

 

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Jim Laszlo - CANFIN Financial Group

399 Four Valley Drive, Unit 10, Suite 110
Vaughan ON L4K 5Y7 CA

Phone: (416) 466 2275 x 242
Cell: (416) 709-6820
Toll free: (877) 422-6346 x242
Fax: (905) 829-0052

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