BENEFITS OF INVESTMENTS

by | Aug 3, 2020 | 0 comments

Investment is the act or process of investing funds for profitable returns, or it can be defined as the procurement of inconsumable assets to create revenue within a time frame.

Whether your income streams from a nine-to-five job or your talent and acquired skills, the onus lies on you to make the sacrifice to invest in a remunerative investment to ensure prospects. You will have to make your money work smart for you.

Everything you invest in can be tagged as an asset, and an example of such assets includes company stocks and shares, commercial products or agricultural produce, trade investments, and real estate, etc.

An ideal approach for revenue creation is to generate other sources of income, and one of the ways to raise a passive income is by investing, which stands relevant to achieve present and future short-term or long-term financial support.

Usually, most people are cautious of investing because of the speculation of uncertainty and authenticity of investment opportunities, particularly those that come with the reward of high returns.

While avarice may spur some forward, fear will push others away from the purpose, the evidence of real results is one sure way to encourage people to invest their money, but results won’t always be available for every given moment.

Worthy of note, there is no such thing as a risk-free investment, but as the saying goes no risk, no reward. You will have to imbibe the culture of taking risks to achieve.

Good investments will present an avenue;

  1. To grow your money through high investment returns e.g. rental income, dividends, and capital gains.
  2. Allows you to create a retirement plan i.e. pension plan
  3. To enable you to achieve financial goals e.g. providing college tuition, health insurance, and acquiring material possessions.
  4. To allow tax performance and reduce taxable income.
  5. To empower you to start and expand a business.
  6. To provide a strong family support structure.
  7. To help defeat inflation as money invested won’t lose purchasing power.

 

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