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September 2014 » Implications of Investments in...
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William M. VanDenburgh, PhD, and Philip J. Harmelink, PhD, CPA
Individual investors often lack an understanding of investment risks. As a result, many take either insufficient or excessive risk, rather than the reasonable investment risk likely to help them reach their financial goals. From a long-term perspective, ultraconservative investing with insufficient risk has proven to be a mistake. While history is no guarantee, investors can adopt better investment tactics if they have a strong understanding of basic investing tenets. CPAs can help by guiding clients to sound approaches using broad types of investment vehicles, with better underlying investment attributes.
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