High-risk investments
There are many high-risk investments that you may hear about. Investments such as commodities
, futures
, and derivatives
are high risk. The products below are also high-risk investments. Find out why and what you should consider before you invest in them.
Foreign exchange
Foreign exchange (forex, FX) trading is the exchange of one currency for another. Profit and loss depend on the fluctuations in the exchange rates between the two currencies at time of purchase and sale. Learn more
Hedge funds
A hedge fund is an actively managed portfolio of investments that uses advanced investment strategies to generate high returns. Learn more
Inverse and leveraged exchange-traded funds (ETFs)
Inverse and leveraged ETFs are a special type of ETF that attempt to achieve returns that are more sensitive to market movements than non-leveraged ETFs. Learn more
Promissory notes
A promissory note is an unsecured promise made by a borrower to pay interest and repay the funds borrowed by a specific date or dates. Learn more
Real estate-based securities
Real estate-based securities are investments in real estate or mortgages usually sold in the exempt market. Learn more
Private placements
Companies can raise money from investors without a prospectus or continuous disclosure, but that makes them much more risky. Learn more