“शेयर बाजार सीखें: शुरुआत के लिए पूरी गाइड”

introduction-to-investment

02 - Introduction to Investment Definition of Investment: Investment refers to the process of allocating money or resources to an asset, project, or business with the expectation of generating income or profit in the future. It involves committing capital to earn returns over a period of time and is a key component of financial planning and economic growth. Objectives of Investment: Capital Appreciation – To increase the value of the original investment over time. Income Generation – To earn regular income through interest, dividends, or rent. Safety of Principal – To ensure that the invested capital is secure and not lost. Liquidity – To ensure the ease of converting investment into cash when needed. Tax Benefits – To reduce taxable income through tax-saving investment options. Types of Investment: Financial Investments – Such as stocks, bonds, mutual funds, fixed deposits. Real Assets – Like real estate, gold, and other tangible assets. Business Investments – Investment in starting or expanding a business. Government Securities – Like Treasury Bills, Public Provident Fund (PPF), etc. Factors Influencing Investment Decisions: Risk tolerance Investment goals Time horizon Market conditions Economic and political stability Conclusion: Investment plays a vital role in personal financial planning as well as in the broader economic development of a country. A well-planned investment strategy balances risk and return, aligning with the investor’s objectives and financial situation.