Before you can determine where to invest your money, you must determine what the goals for your investments are. Depending upon your objectives and time frame, investments can be selected to provide income, growth, or tax savings.

• If you are young and don't require additional income to meet your everyday expenses, long-term growth would probably be your primary objective. You would choose investments that can offer growth over a long period. Because of the longer time frame, you could afford some risk. In fact, aggressive growth of your capital, rather than current income, may be your main objective.

• You may be looking for tax savings to help you shelter as much pre-tax money as possible.

• If you are nearing retirement you may want to begin converting some growth or tax sheltered investments into those that produce income.

• You may find that a combination of objectives, such as growth and income, is best for you, because no single investment will provide all three benefits.

• Safety and risk of principal must be considered together. Investments range from very safe to very risky. Will the investment you choose be so safe that you won't make money? How much risk is there in losing some or all the funds you invest? Will you be able to sleep at night after making your decisions? You must decide on a balance between safety and risk.

• Return or yield on the investment. Will you be able to make enough money on your investment (interest and dividends) to stay ahead of taxes and inflation? You need to do more than keep even if you want to make money. Investments with the greatest return (yield) usually pose the greatest risk to your principal. Stocks, bonds, and mutual funds are rated for risk by rating services.

• Liquidity. How quickly and easily can you sell or cash in your investment without losing some of your principal? What are the fees and possible penalties?

• History. How well has the investment done in the past year and for the past three, five, and ten years?

• Tax savings. Will you be able to defer paying taxes on the income from your investments until a later date?

• Time. Is the term of the investment compatible with your needs and goals, or will you be tying up money you might need?

• Management. Will you be able to spend the time and effort needed to monitor your investments and do the record keeping? If not, are you willing to pay someone else to do this for you?

• Guarantees or insurance. Are the yield and principal guaranteed or insured? By whom and for how much?