Four Investment Risks Most Americans Overlook
In this video, we take a deep dive into four critical investment risks that many people tend to overlook, but that can have significant impacts on long-term financial success: interest rate risk, inflation risk, tax risk, and geopolitical risk.
Interest rate risk is the potential for investment values to fluctuate due to changes in interest rates. Whether you’re invested in bonds, real estate, or even stocks, interest rate movements can have profound effects on your portfolio.
Inflation risk is the gradual erosion of purchasing power over time. Even if your investments are growing, if they don’t outpace inflation, your real wealth could diminish.
Tax risk is often underestimated, but taxes can substantially reduce your investment returns if not properly planned for. We explore how tax changes and inefficient tax strategies can eat into your profits.
Finally, geopolitical risk refers to the uncertainties arising from global political events, including trade wars, international conflicts, and shifts in policy. These events can create volatility in markets, sometimes unexpectedly. This video provides actionable insights on how to anticipate and manage these risks to ensure your investments remain resilient and aligned with your financial goals.
