From our childhood we are taught to save money from our pockets to buy most things. This cover of mind carries up to the age of maturity and we try to save money for the thing we want the most. But here we have made a drastic mistake in life that makes a difference between success or failure in terms of financial expansion.
To understand investments; We must define investment.
What is investment?
According to Investopedia, an investment is an asset or item that is purchased in the hope that it will earn income or be appreciated in the future. Economically, investment is the purchase of goods that are not consumed today but used to create wealth in the future. In finance, an investment is the purchase of a financial asset with the assumption that it will provide income in the future or be sold at a higher price for profit.
What are its top 5 benefits?
1) Financial freedom
Financial freedom means you have enough resources to survive without working. Financially independent individuals have sufficient resources to earn without any physical work as their money works for them.
How to achieve financial freedom?
Here are some tips to help you become financially independent:
Try to increase your income.
Every year plan your savings.
Investment Choose profitable investment options.
Financial Set your financial goals.
Try to stay away from loans and loans.
2) Protection against inflation
Inflation is a steady increase in the general price level of goods and services in an economy over a period of time. This can be considered as an increase in the value of money over a period of time.
Inflation in the economy reflects a decrease in the purchasing power of money per unit – a real decrease in the value of the unit of exchange and account in the economy.
Inflation is rising due to rising prices. As a result, investments are not only safe, but have also increased over time. Thus, it acts as an incentive against inflation
3) Achieve financial goals
When we invest, we set aside money for long-term goals, such as retirement, international vacation travel, luxury homes, including car or children’s education.
Investments ensure we achieve our long-term and short-term goals at the perfect time.
4) Increase resources
Investment is not a means to an end. It takes time, patience and awareness. It requires an analytical study of the opportunities available and makes well-skilled choices about where to place your investment so that it provides a huge return. If things take place somewhere, the results are almost certain.
5) Provide sources of income
While some funds specifically set aside a monthly income for investors, many property funds, like others, pay monthly dividends.
Most of the monthly income funds try to pay the same amount 11 monthly and change the 12th. The exact level of income will depend on the effectiveness of the fund.
What are the ways to invest?
The appropriate investment options are as follows:
Ivid standalone stock.
· Joint capital.
B Government bonds
· Products (gold, silver, etc.).
Iqu liquid fund.