Investments

Stocks: Ownership in a company. Can be bought or sold through a broker.
Mutual funds: Stable set of stocks. Make money long term.
Bonds: Long-term investment. Based on a maturity time frame.

Risk can influence a person's investment decision. If they are willing to lose a little money here or there they might invest in stocks with risk. Other individuals that cannot afford to lose money may invest in mutual funds or bonds.

Time is very important when it comes to investing. For long-term investments, more money is accumulated as more time passes. For stocks on the other hand, a day could make all the difference in someone's investment amount.

Investments differ from savings accounts because they have a higher chance of risk and failure. Savings accounts won't lose money. A small amount of interest is actually paid to the person with the account.

Three tips for investing:
1. Plan ahead, invest to have money for the future.
2. Only take risks you can afford.
3. Have fun!