5 Investment you should avoid

Here are 5 investments you should avoid.

  1. Microcap stocks-these stocks are stocks with a market cap of less than 100 million in market cap. Most of these fail due to the high level of risk and uncertainty of the future.
  2. Investment that you don’t understand-if you don’t understand the risk and what the expected return of the investment then you shouldn’t invest in the company or asset.
  3. Investments that don’t fit your risk tolerance or strategy-you shouldn’t invest in companies or assets that don’t fit your level of risk tolerance or your strategy.
  4. MLM or Pyramid schemes-investing in something were the people on top make money and the lower investor make no money is not a productive use of money.
  5. Buying items that you willn’t use-all people fall victim to buy something that they don’t need often time this financed using credit card debit but it can be used by cash.

There are all the five investments not to make.

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