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Learn about different asset classes from "summary" of Investing Basics for Beginners by Razaq Adekunle
Understanding different asset classes is essential for investors looking to build a diversified portfolio. Each asset class has unique characteristics and risk-return profiles, which can help investors achieve their financial goals. One of the most common asset classes is stocks, which represent ownership in a company. Investing in stocks can provide potential capital appreciation and dividend income, but it also comes with a higher level of risk compared to other asset classes. Bonds, on the other hand, are debt securities issued by governments or corporations. Bonds offer fixed interest payments and return of principal at maturity, making them a more conservative investment option. Real estate is another popular asset class that can provide both income and capital appreciation. Investors can invest in real estate directly by purchasing properties or ind...Similar Posts
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