nvesting!! What’s that?
im assuming that if you have navigate onto this page , then you need not be convinced about investing and making investements in various sectors. . and , I hope that your quest for knowledge/information about the science of investing would end here. Money should be invested wisely. If you are a person with poor knowledge about investing, then in that case terms such as stocks, bonds, futures, options, Open interest, yield, P/E ratio may sound french and latin ang greek to you.take a deep breath and read on to make your senses comfortable as far as investement is concerned. . To start with, support your decisions with as many facts as you can . But, understand that you can never know everything. Learning to live with the anxiety of the unknown is part of investing. Being enthusiastic about getting started is the first step. enough time and a little discipline, will guarantee you all the right moves and returns. . Patience and the willingness to invest your savings across a portfolio of securities tailored to suit your age and risk profile will propel your revenues and cushion you against any major losses. Investing is not about putting all your money into the “Next big thing,” hoping to make a killing. Investing isn’t gambling or speculation; it’s about taking reasonable risks to reap steady rewards.
Investing is a method of purchasing assets in order to gain profit in the form of reasonably predictable income (dividends, interest, or rentals) and appreciation over the long term.
Why should you invest?
Simply put, you should invest so that your money grows with a better prospect . The rate of return on investments should be greater than the rate of inflation, leaving you with a nice surplus over a period of time. Whether your money is invested in stocks, bonds, mutual funds or certificates of deposit (CD), the end result is to create wealth for retirement, marriage, college fees, vacations, better standard of living or to just pass on the money to the next generation or maybe have some fun in your life and do things you had always dreamed of doing with a little extra cash in your pocket.
When to Invest?
The sooner you decide to invest the the better is expected to be the returns .By investing into the market right away you allow your investments more time to grow, whereby the concept of compounding interest swells your income by accumulating your earnings and dividends. Considering the unpredictability of the markets, research and history indicates these three golden rules for all investors
1. Invest early
2. Invest regularly
3. Invest for long term and not short term
Investment or investing[1] is a term with several closely-related meanings in business management, finance and economics, related to saving or deferring consumption. Investing is the active redirection of resources: from being consumed today, to creating benefits in the future; the use of assets to earn income or profit.
How much to invest?
There is no fixed ratio or compulsory minimal amountthat an investor needs to invest in order to generate adequate returns from his savings. The amount that you invest will eventually depend on factors such as:
1 Your risk profile 2. Your Time horizon 3. Savings made
Remember that no amount is too small to make a beginning. Whatever amount of money you can spare to begin with is good enough. You can keep increasing the amount you invest over a period of time as you keep growing in confidence and understanding of the investment options available and So instead of just dreaming about those wads of money do something concrete about it and start investing soon as you can with whatever amount of money you can spare.
investment refers to the accumulation of some kind of asset in hopes of getting a future return from it.
Assets such as equity shares or bonds held for their financial return
(interest, dividends or capital appreciation), rather than for their use in the organization’s operations.
Return on Investments
The money you earn or lose on your investment, expressed as a percentage
of your original investment.
Collective Investments Schemes
A collective investment scheme is a way of investing money with others to participate in a wider range of investments than feasible for most individual investors, and to share the costs and benefits of doing so.Funds which manage money for a number of investors and pool it together. This enables investors to benefit from a larger number of individual investments and cost efficiencies.
Short-Term Investments
Short-Term Investments are generally investments with maturities of less than one year.
Capital Investments
Investments into the fixed capital (capital assets), including costs for the new construction, expansion, reconstruction and technical reequipment of the operating enterprises, purchase of machinery, equipment, tools, accessories, project and investigation works and other costs and expenditures.