This segment was broadcast on 11 May 2017. Some information may be out of date.

Investment risks — Part 2

Too complicated, too much borrowing, not diversifying…

In a four-part series, Mary talks about the risks described in the newly updated “Upside, Downside — a guide to risk for savers and investors”. (Download it here) In this session:

  • Investing in something you don’t fully understand
  • Investing in companies that get into trouble
  • Overdoing borrowing
  • Investing in too few different types of assets
  • Failing to diversify within each type of asset
  • Failing to diversify over time
  • Putting short-term money in volatile investments

Mary Holm is a freelance journalist, a director of Financial Services Complaints Ltd (FSCL), a seminar presenter and a bestselling author on personal finance. From 2011 to 2019 she was a founding director of the Financial Markets Authority. Her opinions are personal, and do not reflect the position of any organisation in which she holds office. Mary’s advice is of a general nature, and she is not responsible for any loss that any reader may suffer from following it.