Investing in equities need not be a tightrope walk

risk

Volatile market conditions such as the dotcom boom and bust have led to growing caution among investors. However, by using protection features it is possible to benefit from equities with less risk

It has been said that those who are immunised against loss are also immunised against profit. But it does not have to be that way. Investment risk and the potential for growth go hand in hand. The higher the risk, the higher the potential return. These beliefs have underpinned attitudes to equity-based investing for decades. However, much of the investing population no longer has the stomach for risk. The volatile market conditions and dotcom boom and bust era in recent years have combined to create a state of investor cynicism and inertia. There are many ways investors can mitigate ris...