TDCI Securities Division Offers Tips on Investing Income Tax Refund

NASHVILLE, Tenn., April 18 -- The Tennessee Department of Commerce and Insurance issued the following news:

With the April 18th tax filing deadline just hours away, many Tennessee consumers are weighing their choices for using their refunded money. The Tennessee Department of Commerce & Insurance's (TDCI) Securities Division encourages consumers who are planning to invest their tax refund to first develop a personal investment plan to help reach their goal and avoid falling victim to investment fraud.

"It's important to create achievable saving and investing goals before committing any funds," said TDCI's Assistant Commissioner for Securities Frank Borger-Gilligan. "By taking the time to research your options and create a personal investment plan, you can better position yourself on the road to financial freedom and security."

Before investing any funds, the TDCI Securities Division encourages Tennesseans to consider the following questions compiled by the North American Securities Administrators Association (NASAA):

* What do I want to accomplish?

* Set specific investment goals. Be sure to include target dates and dollar amounts so you have a realistic idea of how long it will take to achieve your goals.

* How much risk am I willing to take?

* Are you willing to risk losing some or all of your money in order to earn higher returns, or will you accept lower returns for the peace of mind of knowing your initial investment is safer? Understanding how much risk you are comfortable taking determines your "risk tolerance," which in turn informs which types of investment products are most suitable for you.

* What type of investment is right for me?

* Each investment comes with certain characteristics, risk levels and potential returns. Understanding your situation--risk tolerance, time horizon and specific goals--will make it easier to choose the right investment for you.

* Am I comfortable enough to do this on my own?

* How much time are you willing to spend sorting through investment choices and keeping up with the markets? How confident are you in your investment knowledge and ability to carry out your decisions? If you need some guidance, you may want to seek the services of a financial services professional. Investing, especially with significant amounts of money, can be a complicated process. Many people seek the help of one or more financial services professionals.

For more investor education resources or to schedule an investor education outreach event for your group/club, visit the TDCI Securities Division at https://www.tn.gov/commerce/section/securities or call 615-741-2947.

See more at: https://tn.gov/commerce/news/49845#sthash.dJwL4uPA.dpuf