Q: Hi,
If I invest in a high interest savings ETF like CASH, am I taking risk on my principal? Or am I just taking risk on what interest rate I'm earning?
It seems like there is a bit of a principal risk. Would the price go down if the rates go down?
Thanks,
If I invest in a high interest savings ETF like CASH, am I taking risk on my principal? Or am I just taking risk on what interest rate I'm earning?
It seems like there is a bit of a principal risk. Would the price go down if the rates go down?
Thanks,
5i Research Answer:
These ETFs trade like stocks so at times there could be very minor market risk if one is selling...