Quite a while ago I was asked this question, “I am new to investing but I am risk adverse. Is there a risk-less investment that I can go into?”

I could not remember the answer that I gave in verbatim, but I would give a general gist here. If you had asked the above question before, hope this post would give you some clarifications. I tend to be a little bit long-winded and go a bit out of point, but I would prefer to explain some stuff on a holistic basis.

What is Risk?

Risk is a possibility of anyone, anything or any situation that may inflict harm, injury or loss. The key word here is possibility, or what academics called probability. Though you may not be aware, but we face risks all the time. The main reason why we do not take these everyday risks into serious consideration …