Hello, Dear Readers!

In this publication Ian Filippini will discuss in detail a very important question - the investment risks. From the article you will learn what kind of risks, what are they and how to reduce them.

First of all, According to Ian Fillippini all the activities related to making money inevitably run the risk of:

For hire - the company may be reorganized or even bankruptcy.
On state service of the annual large-scale reduction - already a tradition
Own business even more does not guarantee a stable income

Investment risks, Ian Filippini is most similar to the risks of their own business. In general, investment is almost there and entrepreneurship. The essence is very similar: we choose the investment object (such as banks, art, PAMM accounts, or stocks). Then invest the amount to be pre-planned. Then watch your investment portfolio and make adjustments to its structure as necessary. And, best of all, - derive a profit.

And in this case to reduce risks, manage risks?

Choosing the right amount of investment

Again, all as a business: For example you want to open a restaurant. You plan on placing the costs, personnel, products and so on. Accumulate this amount, and start your own business. In this case there must be some reserve money. That is the safest and desirable to start investing. Choose to think in advance the amount of available funds.

Many people take out loans for business development. What about investments?
“There is no clear recipe, ideally it is better not to attract credit which means that your financial condition is not critical worsened by a failed investment” says Ian Filippini.
I know several successful experienced investors & practitioners attract credit funds. Usually they earn good money on this.

Invest in different objects

We are talking about those very sayings - "Do not keep all your eggs in one basket", "Divide and conquer."

Share investments (diversification) can be in control traders in a single-broker company, as well as the companies themselves.

Business investment risks
“Under the trading risk, I mean possible losses on the results of the traders. Diversification traders in your investment portfolio - is one way to reduce the risk of the trade” Says Ian Filippini.

After mastering the investment secrets, it is infrequent to be faced with losses. At the end of a losing week, Always analyze what went wrong, how to act to prevent this from happening again. And most of the losses were related to the lack of diversification and excessive greed ;-) That is, even if one of the control completely "merge" expense as a result of an error (although 100% of the loss of managers I have not seen) - most likely by the end of week, not even It will be loss, because the other managers it will block a profit. Here is an example of one of my investment weeks: two managers at a loss, including one 24% (this is a big loss) and for the week plus.

It turns out that in order to reduce trading risks can be:

Share investments on several control (optimally - 7 or more)
Reduce the share of each of the control (optimum - 20%)
Invest in conservative traders

Do not trade investment risks

We are talking about the problems risks a company broker. Periodically, problems happen even in the largest financial services companies. The worst thing that can happen to a broker - is bankrupt. But we are with you as investors somebody's problems should not be interested. Our task is to preserve and enhance. Therefore, we use to reduce the risk:

Again, diversification - select few brokers (optimal share portfolio from one broker - to 33%)
We work with the largest and reliable brokers

If you have something to share on the topic or question - I wait for your comments.