is it the right time to invest in stock market instead of banks when the rate of interest is really good?

Question

is it the right time to invest in stock market instead of banks when the rate of interest is really good like 9%..

secondly would you call it a wise invetsmnt to shift from a fixed return scheme to stock market..?

Answer 1

A good mutual fund can return 15%



A uneducated stock market inverstor makes like, -100% returns.



it all just depends if you can sleep tightly with the risk involved w/ each investment vehicle. Don't invest in the stock market w/ money you need. Make sure it's money you DON'T need, otherwise you'll make bad choices.

Answer 2

Where are you seeing 9% returns from banks?



I think the answer lies in your risk tolerance. Personally, I like small-mid cap companies. However, they will definitely take you on a rollercoaster ride. But some of these companies have generated over 20% returns over the past few years.



You might also try looking into index funds, like the Vanguard 500. It's posted returns of over 10% over the last 5 years. Not too shabby.

Answer 3

Any decent mutual fund will make at least 18% for you and some very good Mutual Funds will make at least 25% for you like the Vice Fund (NASDAQ:VICEX)