Investment is a broad term generally relating to give someone the opportunity to make their money's value grow. However, some people would think that investment also involves risks thus it is also related to some form of gambling.
However, some expert investors claim that if you have no control over the risks, then you are difinitely gambling - not investing. They say, it is just like driving a car without any steering wheel! One example they claim where many investors loose their money is in the stock markets. You invest in a particular stock, but you don't control the trends of the prices of the stocks. Thus, if the stock markets crash, many people loose their money.
Others invest in certain commodities or goods. Maybe they think that by purchasing a good luxury car is an investment. But always note that the value of these goods also depreciate. Hence, when you make a future resale of your luxury car, your money does not really grow - and this is not investment. However, there may be some exceptions to these. Real estate does not easily depreciate. As time goes on, most real estate properties such as land and houses, would increase in value and demand.
Investing in business could probably in another good example of investment opportunities. In businesses, the management can control the direction of the business. Thus they have more control over many risks involved. By being a stock holder of an established business, you have more chances to make your money grow fast. But if you invest in an unstable business whose management may be mismanaging their company, that would certainly be a big blunder. The risk control now is in you whether to invest or not.
Others would simply invest more on themselves. Trying to gain the necessary skills they want and learning many money making opportunities. The risks management is always up to you.
By investing wisely, always know the risks involve and manage things wisely and don't gamble.
However, some expert investors claim that if you have no control over the risks, then you are difinitely gambling - not investing. They say, it is just like driving a car without any steering wheel! One example they claim where many investors loose their money is in the stock markets. You invest in a particular stock, but you don't control the trends of the prices of the stocks. Thus, if the stock markets crash, many people loose their money.
Others invest in certain commodities or goods. Maybe they think that by purchasing a good luxury car is an investment. But always note that the value of these goods also depreciate. Hence, when you make a future resale of your luxury car, your money does not really grow - and this is not investment. However, there may be some exceptions to these. Real estate does not easily depreciate. As time goes on, most real estate properties such as land and houses, would increase in value and demand.
Investing in business could probably in another good example of investment opportunities. In businesses, the management can control the direction of the business. Thus they have more control over many risks involved. By being a stock holder of an established business, you have more chances to make your money grow fast. But if you invest in an unstable business whose management may be mismanaging their company, that would certainly be a big blunder. The risk control now is in you whether to invest or not.
Others would simply invest more on themselves. Trying to gain the necessary skills they want and learning many money making opportunities. The risks management is always up to you.
By investing wisely, always know the risks involve and manage things wisely and don't gamble.
SHARE