Toxic Investments Investors must avoid

[Starmix]

The following investments are considered toxic, so investors are advised not to push through their plans of investing them like subprime mortgages, annuities, penny stocks., high-yield bonds, private placements, and traditional savings accounts at major banks. A sub-prime mortgage is a home loan available to borrowers with limited credit, but interest high, so it is a toxic way of investing. Annuities are also considered toxic in the sense that the payer may pay to the insurance company many times either single or a series of payments. It is a contract between you and the insurance company.

Penny stocks are those traded at a very low price. It also has a very low market capitalization, hence, it is listed on a smaller exchange. A high-yield bond is a bond that offers a high-interest rate. This is because of its higher risk of default. It is not good to invest in this. There seems less surety. Others fall to the same description, risk, fewer returns, and interest rates go up for the investors. Let us get rid of these toxic investments. Toxic investments give no guarantee of good returns. They all depend on how you manage your business, but having all the descriptions, they seem very impossible business and investors may have hints on these, but they want to gamble and contradict the experiences of other investors. Those wise investors may never gamble on these toxic ways of investing their hard-earned money. Would you dare invest in these toxic investments?

 

[rubesh]

Thank you for sharing your thoughts on toxic investments. I agree that these investments are generally considered risky and not recommended for most investors. Subprime mortgages, for instance, have a high interest rate and are often targeted at borrowers with limited credit history, making them risky for investors. Annuities, on the other hand, involve paying a large sum of money to an insurance company in exchange for future payouts, which can be difficult to predict and may not offer a good return on investment.

 

[Starmix]

@rubesh thank you so much for sharing your expertise or knowledge on these toxic investments. They're scary for me. It seems the small creditors may find it hard to pay their loans considering the rate of the interest.

 

[eldavis]

Another from of investment i consider toxic is investing in gambling or betting as some would call it. Personally i do not consider this as an investment, but there are so many persons who sees this as an investment.

 

[Stardom22]

I suppose that toxic investments should be avoided at all costs by seriously investors. I do hope that the toxic investments may lead investors to massive losses and unsuccessful investment portfolios.

 

[Starmix]

I suppose that toxic investments should be avoided at all costs by seriously investors. I do hope that the toxic investments may lead investors to massive losses and unsuccessful investment portfolios.

Who benefits on these toxic investments? It's the investors of these. They accept the money of the people but the promise is vague, no clear returns of investments. The money people invested will go to their pockets.

I suppose that toxic investments should be avoided at all costs by seriously investors. I do hope that the toxic investments may lead investors to massive losses and unsuccessful investment portfolios.

 

[Stardom22]

It's therefore a very great idea when we can try to avoid these kinds of investments. Now the most challenging part is how to identify a toxic type of investment. Is there any way to that one can use to identify them?

 

[Starmix]

Just list down the names to remember them in case one of them crosses your way. Or screenshot the list of these investments and write them down on your notebook to remember them easily.

 

[flower]

Investing in high-yield bonds could be very detrimental because it comes with huge risk.

 

[Starmix]

It is better to decide first whether to invest in this or wait for the right time. What is required is knowledge, skills, and a final decision with the spouse or members of the family. Our family must aways be involved.

 

[Sophie]

I strongly believe that investment ideas comes on there on therefore anyone forcing a person into a certain investment platforms which they personally don't feel is right can be referred to as a toxic investment

 

[Stardom22]

For me I will try as much as possible to avoid the toxic investments avenues at all costs. They can cause an investor to go on losses if not we'll handled.

 

[AruneBend]

Yes I try to avoid toxic invesmets as much as possible sometimes I still do invest in them out of curiosity and I lose money but now I know better and don't invest in them as often

 

[Bisolami]

Another from of investment i consider toxic is investing in gambling or betting as some would call it. Personally i do not consider this as an investment, but there are so many persons who sees this as an investment.

Gambling should never be seen as an investment. You are definitely going to lose your money into it

 

[Stardom22]

I think there are many people that are oftenly making a killing on the venture. There are strategies and tactics that have been proven working and if followed appropriately and not being greedy you can make profits on daily basis.

 

[Starmix]

Investors must choose well the investment that brings them the glory of profit. They must not make a try an error for the outcome might be all errors and hard to get back to the better one.

 

[Stardom22]

If you want a certain investment portfolio to work the best for you you must put in effort to making sure that you have all that what it takes to make you achieve in it.

 

[cherry123]

You didn't include doing gambling business. This is a another toxic investment as you lose a lot if you are not careful so it is as toxic as it comes

 

[Starmix]

Gambling wasn't mentioned by the business analysts. Gambling could be temporary if illegal but if like the Casino, mostly people playing casino won. I like to play casino if only Las Vegas is near me hehehe.

 

[cherry123]

Yeah but the truth us that we just have to be careful when playing either betting or gambling it can be very harmful to one's financial life if not careful