The current sluggish economy may be making you feel insecure about investing or making any financial decisions at all. Fear not. There are still short and long term risk-free investments, such as money market savings accounts and certificates of deposits (CDs), and they provide a secure place for you to stash away your money now.
Even though current interest rates are low, many investors are turning to CDs as they are trying to find a balance between capital preservation and capital growth. There are many different types of CDs, and their rates vary with the maturity dates and amount of money invested, thus you can always find a CD to consider for your investment portfolio and individual risk tolerance.
CDs have many benefits: CD rates tend to be higher than money market savings rates; they are liquid investments; your capital is preserved; and CDs are FDIC insured. Read our articles below to learn more about CDs.
Certificates of Deposit (CDs) are one of the safest investments you can make. Learn more about how CDs work and the types of CDs available in the market.
Investing in CDs means locking up your funds in an account for a specified length of time. If you need to withdraw your money before the maturity date is due, you will incur a substantial penalty for early withdrawal. Learn about the important questions you should ask before you invest.
Certificates of Deposit are among the safest investments you can make. Not only do they have the least risk of all other higher yield accounts, they are also insured by the FDIC just like your bank accounts.