what is high risk stock?

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PostPosted: Thu Aug 14, 2008 9:33 am   Post subject: what is high risk stock?  

what is high risk stock?
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PostPosted: Thu Aug 14, 2008 9:58 am   Post subject:   

stock you buy that has a risk of either making or losing money....OR a cow that is up a telephone pole...
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PostPosted: Thu Aug 14, 2008 11:03 am   Post subject:   

the high risk stocks are the stocks which have high rate of volatility in the market. Investing in these stocks are like gambling. If the market remain favorable, you may earn in dollars, but the market take a plunge, so will the stocks.

The investor has to remain prepared for suffering big financial losses when the stock prices go down.

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PostPosted: Thu Aug 14, 2008 11:22 am   Post subject:   

Stocks by nature are assigned with high risks.

Risk is determined by the sensitivity of the particular stock with the changes in the stock market . If the stock value changes with the slightest change in the market, then it may be termed as a high risk stock.

On the other hand when a stock promises more or less stable return through out its term can be termed as bond, which is a safer investment option for many.

Hope it clarifies.

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PostPosted: Fri Aug 15, 2008 11:06 pm   Post subject:   

Ummmmm.......

Quote:
Stocks by nature are assigned with high risks.

Risk is determined by the sensitivity of the particular stock with the changes in the stock market . If the stock value changes with the slightest change in the market, then it may be termed as a high risk stock.

On the other hand when a stock promises more or less stable return through out its term can be termed as bond, which is a safer investment option for many.


What are you saying? Confused Stocks are NOT bonds, and bonds are NOT stocks. They're as different as night and day. Shocked

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