This is a good question. Investing in safe, low interest investments might not help you reach your long-term goals or even keep up with inflation. Because of this, some people are falling into the trap of taking more risk than they are comfortable with seeking better returns.
First of all, you have to know your time horizon and your personal risk tolerance. If you’re not sure what yours is, you can take this short questionnaire (https://secure.financialfinesse.com/go/2997) to determine that.
From there, you can use the chart on the bottom to assess the amount of risk you are currently taking.
It is important to review your investments regularly and make changes as your goals or risk tolerance changes. No one is more interested in reaching your financial goals than YOU, and only you can decide the appropriate investment mix that is right for you.
The question is a bit vague and depends on what you're saving for and the individual investor's profile. In any case you should invest through a diversified portfolio. This can be accomplished very cheap these days. The actual allocation and investment vehicles really depends on each investor's profile. Generally, the longer the time horizon, the more flexibility you have and the higher the risk that you can take. Good luck,
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