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Investment Pyramid Cash Investments Bonds Stocks Mutual Funds



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> Risk vs. Return
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Investment Pyramid

Risk vs. Return

Risk vs. Return

Investments have a risk-reward spectrum, represented here by this investment pyramid. The more risk you take on in an investment, or the higher you go up this investment pyramid, the more potential return you may make. The less risk you take on an investment, or the lower you go down the pyramid, the less potential return you may make.



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Last Updated: 11/26/2003