Knowing what is your investment style are will help you to choose investment type more accurately. There are really only 3 specific investment styles, which can be conservative, moderate, and aggressive.
Naturally, if you found yourself have a low risk tolerance, then your investment style will most likely to be conservative or moderate. In contrary, if you have a high risk tolerance, you will most likely to be an aggressive investor. Meanwhile, your financial goals will also determine your investment style.
Conservative investor want to maintain their capital in their investment. This type of investor usually invests in common stocks, bonds, unit trust and interest earning savings account. Thus, they are more likely on early retirement. I am one of the conservative investor and have an unexpected huge amount of money put into Bank Fixed Deposit. This is just for preparation or cash flow at best.
Aggressive investor is willing to take risks and they invest higher portion of money in riskier investment vehicle in order to achieve higher returns in a short time period. They often have most of their investment funds tied up in the stock market.
If everything run smoothly, I hope that next year would be my “Golden Year” because most of my investment vehicle will be over 3 years period. Secretly saying, I did invest on Public Bank & Prudential fund, and probably will try new type of investment next year. My current status: More focus on keeping spare bullets to decide what should do next…Property? Own Business?
No matter what type of investment you do, however, you should carefully do research on that investment. Never invest without having all of the facts.