What are the risks associated with investing in franked shares compared to other cryptocurrency investment options?

1 answers

• Dec 25, 2021 · 3 years ago
  When comparing franked shares to other cryptocurrency investment options, it's important to consider the risks associated with each. Franked shares are typically considered to be less risky compared to cryptocurrencies due to their stability and potential for dividend income. However, they still carry certain risks. One risk is the potential for a decline in the company's stock price. If the company's financial performance deteriorates or if there are negative market conditions, the value of the shares could decrease. Another risk is the lack of liquidity compared to cryptocurrencies. While cryptocurrencies can be easily bought and sold on various exchanges, franked shares may have lower trading volumes and could be more difficult to sell. Additionally, franked shares may be subject to regulatory and legal risks, such as changes in tax laws or regulations that could impact the company's profitability. It's important for investors to carefully assess these risks and consider their investment goals before deciding between franked shares and other cryptocurrency investment options.
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