- Investments -

There are many forms of investments:

All of these options are available and acceptable forms of investments. Some have higher risk than others, but with higher risks comes higher rewards or losses. It is up to the individual and their risk tolerance to choose which form of investment they feel most comfortable with. Some people are content with putting their money in the bank and collect interest, while others take like the higher risk by buying and selling time dependent options.

And with each type of investment, there are certain lingo and peculiarities associated with them. Options are the "right" to buy or sell 100 shares of a stock before the option expires. The movement in a foreign exchange instrument is called a "pip", and most foreign exchange instruments are traded almost 24 hours per day. Even in real estate, if you don't put 20% down payment on your house mortgage, the lender will charge you a PMI (Personal Mortgage Insurance) every month until you surpass 20% of your mortgage.

So before you dive nose first into any type of investment, it is best to learn as much about it as possible. Knowledge is power. And being prepared is the smartest thing you can do before you put your hard earned money into an investment.