What is a common risk associated with investing in the stock market?

Investing in the stock market carries inherent risks, and market volatility is one of the most significant. This volatility refers to the fluctuations in stock prices that can occur due to various factors such as economic conditions, political events, or changes in company performance. When prices rise and fall rapidly, it can lead to uncertainty and can greatly impact an investor's portfolio value. Understanding market volatility is crucial for investors, as it underscores the importance of being prepared for sudden changes in stock prices and the potential for losses.

In contrast, the other options suggest unrealistic expectations about investing. The idea of guaranteed high returns, consistent profits, or safety of principal investment does not align with the nature of the stock market, where outcomes can vary widely and are not guaranteed. This distinction is essential for developing a realistic approach to investing and managing risk effectively.