1.High Risk — Any investment which can potentially result in a high volume of losses would be categorized as high risk. You’ve heard of the phrase “high risk, high reward”, right? Well, the other side of that anthem is “also high risk for no reward”! Investing in high-risk options can be hugely beneficial or hugely depreciating for your financial portfolio, so it is advisable to always know your risk options before investing. High-risk investing can be fruitful if the investor is looking for a quick return and is often a preferred method to do so. But, if the risk materializes at any time during the duration of your investments, you are liable to lose a lot of your savings. It is important to remember that while such an investment can increase your capital, getting constant and stable returns on them are dependent on market conditions, foreign exchange rates, stock prices, and many such factors.

Pro Tip: Please read the offer document carefully before investing.

2. Medium Risk — Medium risk investments are those which can offer investors some stability in returns, while also allowing their capital investment to appreciate. These investments typically garner returns over a 1–3-year period and are a good option for investors who want a relatively big payout at the end of their investment term, but also want regular returns during the term itself. Some mutual funds, high-income bonds, and investing in real estate are some examples of what is usually categorized as a medium-risk investment. Investors who are more financially prudent will likely opt for medium-risk investment schemes rather than taking huge risks (and potentially facing huge losses!).

Pro Tip: Please read the offer document carefully before investing.

3. Low Risk — The current favorite at Deciml! A low-risk investment refers to one which has less at stake. This could be in terms of the amount of money invested or in terms of the returns which are expected from such investments. As the name suggests, this type of investment risk is the safest option for investors, especially young investors who are just starting to build their savings. Low-risk investments are the only option that protects investors against losses and also ensure that on the off chance that there are losses incurred — they will be minimal and would not be devastating to an investor’s financial profile. FDs, PPFs, PFs, and Life Insurance are some investment options that carry less risk. The Deciml App also offers low-risk investment options for its investors that offers up to 10% returns per annum. Low-risk investments bear the most substantial results when investors are regular with these investments, and when these investments are given sufficient time to grow — two things we ardently encourage at Deciml.

Pro Tip: Please read the offer document carefully before investing.

So, what are the important things for young investors to remember?
Firstly, starting your investing journey can be daunting, so trust us when we say, you want to avoid risky investments right now. Low-risk investments which require you to consistently invest small amounts and high-interest rates for returns are important to kickstart your portfolio — like through Round-Ups or Daily Deposits with the Deciml App.

Secondly, low-risk investments, like with Deciml, will keep you motivated to continue investing for a long period of time so as to maximize the compounding nature of returns on such investments.

And thirdly, please read the offer document carefully before investing.