Why you think a sinking fund is or is not a good idea


Problem:

I think a sinking fund is a good idea. It places funds to the side gradual just in case an investment doesn't work out. We would all like for our investments to work out but unfortunately they don't. It may not be an attractive feature because when we invest our money we would like to think we are going to make money. It's kind of like a savings account in a way. The money is put there gradually so that is builds overtime, and is there just in case we need it.

Explain why you think a sinking fund is or is not a good idea.

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Finance Basics: Why you think a sinking fund is or is not a good idea
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