A prudent financial advisor would have a definite answer to this question. Like if you went to your stock broker and asked him/her the same question, they would share with you the merits of mutual funds, real estate, or stocks and conclude with an investment plan detailing exactly how much you should invest in each asset category and which fund house to go through.
But this is not what we are going to do today. I’m going to ask you the one question that will change the way you invest for the rest of your life. This is not about a well-researched diversification or returns based on some asset allocation formula. If you are reading this, it means that — for some reason — you have $5000 in hand and want to invest it wisely but also want to minimize risk.
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