Investing all of your money in a business poses huge risk of losing your life savings. It is important to carefully divide your money into high risk, high return investments and low risk, low return investments. This way, you can be sure that even if the business that you have invested upon goes the way of bankruptcy, you will have other means to obtain money from. Presented here are three different investments that are known to have low risk of losing.

Cash is the most liquid form of investment, yet it is also the investment with least amount of increase or oftentimes it does not increase at all. Just keeping your money in your wallet’s secret pocket, inside a piggy bank or hiding it somewhere in your closet is the simplest form of investment. But doing only this will not make you earn any interest from your money at all. Therefore, investing in foreign exchange can entail the possibility of some interest though it requires you to be cautious of the ever-changing exchange rates.

Investing on a savings account is the next low risk investment there is. Compared to cash, it is sure to have an interest of around 2-3% per annum depending on the bank or on the type of savings account. Also, all savings accounts are protected with insurance unlike cash. Therefore, it is better to put your money in a savings account rather than leave it inside a piggy bank to avoid losing all of it.

Lastly, you can put your money in a time deposit. The idea of a time deposit is similar to that of a savings account where you put your money inside a bank. The big difference is that a time deposit has a larger interest rate yet with condition that you do not withdraw your money from the bank at a specified period of time that can span to more than a year. But if you are sure that you just want to keep your money and you will not need it any time soon, it is best to put it in a time deposit account.