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Q.

Stocks or gold or real estate -----which is more risky? Why?

Asked by Good Citizen, 05 Jan '10 12:54 pm
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Answers (5)

 
1.

It is all a matter of perception and each one requires a lot of study and taking the right call. Of all three, real estate too could turn out to be risky if adequate study and analysis of the prospects of a future appreciation has not been carried out. And in real estate, one has to be very careful not to get duped esspecially when it comes to buying land.

Gold and stocks. Gold is less volatile and in the long run would give a steady appreciation, though in percentage terms it could be less than stocks.

Stocks, no comments because it would require a lot of convincing to do for one who doesn't want to be convinced that stocks aren't all that bad and it is only that much risky as the chances of you getting hit on the road or falling into a drain while walking on the footpath. The calls are so important and the timing is crucial. Something about which many make a mistake and then curse the stock market for their misfortune.
Answered by Omega, 05 Jan '10 09:52 pm

 
  
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2.

Lets see them individually:
1. Stocks : Risk factors --> a) Ever changing Govt. Policies b) Company's performance c) Changes in the Board of Directors d) Sector to which the products are supplied their demand and supply chain. e) Finance Cost/ charges f) Debt/equity ratios.

2. Gold : a) International market for gold. b) Supply of Gold c) Gold reserve policies. d) Consumption of Gold as raw material/FG and others. e) Gold exploration

3. Real Estate : a) Govt policies b) Marketing strategy used by the builders and real estate agents. c) Development plan by the municipal or local authories. d) Land acquisition by Govt. e) Middleman buying the land and creating fictitios demand to hike the rates. etc etc
Answered by Mohammed asim nehal, 05 Jan '10 01:06 pm

 
  
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3.

Stocks are the most risky of the lot
Answered by rajnikant raiyarela, 05 Jan '10 01:08 pm

 
  
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4.

Stocks are riskier compared to gold and real estate. Take a look at the history of stocks. Uncertainty, unpredictability and volatility of market make the stocks very risky.
Answered by Tony Fernandez, 05 Jan '10 01:05 pm

 
  
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5.

None if necessary caution is taken: However stocks are more risky:
Investment is like a prism: with 3 sides: Returns, Liquidity, and safety: study these parameters and go ahead
Answered by jameel ahmed, 05 Jan '10 12:56 pm

 
  
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