There is always a risk to reward ratio that you have to consider before deploying your money into the stock market.
In the context of haviing the opportunity of an upside of 1000% increase, the risk would also be equivalent and even the possibility of 100% downside and losing your capital.
It is impossible for the risk to only be 1%.
Risk to reward ratio is always proportional. The greater the expected return, the greater the risk.
Probably only happen in dreams there would be such a thing as 1000% upside like a penny stock but as safe as a blue chip stock.
Similarly, in the opposite way.
The lower the returns, it is generally safe to assume that there are lower risks.
E.g Singapore T-bills with a 4% return and has capital guaranteed.
Ultimately, do your own due diligence and take into consideration your investment time horizon 😊
Do You Know of Any 'Easy Money' or 'Quick Buck' Opportunities in the Stock Market?
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