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Stocks
Why Stocks?
Stocks make up the third level of the investment pyramid. Other than speculative types of investments, they are the riskiest type of liquid asset.
Stocks can be good instruments to use for longer holding periods, for example, six years or longer.
Click on each of the features on the left for a more complete understanding of why people invest in stocks.
| Potential for Higher Return |
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Although stock prices can fluctuate, and past performance is not a guarantee of future results, sometimes with wide variances, stocks historically have returned much more that cash or bonds. |
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| Long-Term Goals |
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The longer time frame allows stocks to go through whatever fluctuations they might experience but still have the potential for higher returns. Investment values fluctuate and shares when sold, may be worth more or less than their original cost. |
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| Some Income from Dividends |
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Dividends from stocks are less than from bonds, but can still be used as a steady stream of income you can reinvest or use for living expenses. |
 How much should I keep in stocks to meet my long-term goals such as retirement? See the Retirement Planning Quick Report.
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