Investing comes with a certain amount of risk, and that turns some people off of it altogether.
But your risk level varies depending on many different factors.
When it comes to investing, it’s better to focus on exposure.
Because of this, you shouldn’t focus on risk, you should focus on exposure.
As we deal with a world that feels more risky, I suggest making exposure our priority.
While risk poses the question, “What could happen?”
exposure asks, “What impact would it have on me?”
We can’t always answer the first question, which creates stress and confusion.
But we always have a pretty good idea how to answer the second.
Point is: sure, there’s risk.
But you’re free to minimize its impact.
Learning about how to minimize your exposure to risk isa lot more lucrativethan simply not investing at all.
To check out what else Richards has to say on the matter, tap the link below.
Exposure Offers Clarity in the Risky World of Investing| The New York Times
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