Risk is part of investing. It is the price you pay for a potential reward. The greater the risk the greater the potential reward should be. Every investor needs to find the level of risk that is comfortable while still offering the potential of return necessary to achieve financial goals.
The fundamental rule is: The higher one’s risk, the greater the expectation of receiving a high return. The opposite is also true, however: the higher the risk, the greater the chance that that the return will be zero or negative.
Generally, as a beginner, you should start your share portfolio with less risky shares in larger blue-chip companies or exchange-traded funds.