Tag: low-risk investment

Managing Investment Risk

Posted by Winflow – July 26, 2011

When it comes to managing investment risk, there are a number of things you can do to improve your chances of gaining a return from your investment portfolio. Consider the following when creating your investment portfolio:

  • Diversify! Choose investments with various levels of risk. For example, if you have mainly high-risk investments it may a good idea to balance your portfolio with some low-risk investments to improve your chances of getting a return on your investment. If your portfolio primarily contains low-risk investments, consider looking into riskier options to improve your chances of making a greater return. When it comes to managing investment risk, remember that achieving a balanced portfolio is important.
  • Talk to a financial planner. They can come up with a financial plan and strategies to reduce the impact losses will have on your investment portfolio.
  • Do your research. When it comes to obtaining investment advice, research it first to ensure it is sound or consider contacting a professional for investment advice. This could help reduce your investment risk.
  • Determine your investment needs. Do you want to invest for retirement purposes? Large capital gains? If you know when and why you need the money you will be able to make a long-term investment plan and stick to it which can help ease investment risk.

Risk Matrix

Posted by Winflow – July 11, 2011

For those who feel overwhelmed by identifying risks and crunching the data, there is help for you. A risk matrix is a project management tool that evaluates probable risks in terms of likelihood. It comes in the form of a grid which makes it easy to visually identify risks associated with an investment or business endeavour.

Are you an investor looking for an easier way to identify risk? At Winflow Financial, our Risk Tool™ does all the necessary analysis for you. Just register on the site, upload a .csv file statement and sit back and wait for the risk results to be displayed.

Consider the following when using a risk matrix:

  • You should use a risk matrix if your having trouble identifying risks and need data so you can make a decision.
  • Know your own appetite for risk. This will help you determine if an investment is too risky for your liking.
  • A risk matrix is also ideal for making quick decisions. If you need to make a quick investment decision, using a risk matrix is your best option.
  • If you take on an investment with too little risk, you could be wasting money. If you take on an investment with too much risk, you could lose money.

Buying a Business: Choosing the Right Business Type

Posted by Winflow – June 7, 2011

There are a number of different business types available for entrepreneurs looking to purchase an existing company or product. Each type of business offers a different set of challenges and rewards. If you’re considering buying an existing business here are some of the different types of businesses to keep an eye out for:

  • Failing businesses. These are companies that are selling their businesses for a reduced, below market price. You should purchase this type of company if you see an unexplored opportunity in the business you believe could make profits.
  • Supplier channel. Buying your supplier’s business can greatly assist your company’s performance. You will reduce slow deliveries and  may even secure increased buying power.
  • Franchises. This type of business is ideal for those more comfortable with low-risk investments. You’re going into an already successful business but you are giving up some control to do so.
  • Strategic acquisitions. This type of business is ideal for those that already own a company. It involves purchasing another business to expand product lines, markets and services.

For a complete list of business types to invest in, read this article.

If you are interested in buying a business but aren’t sure which type is best suited for you, call the Winflow Financial Group at 1.800.956.6897.