What is investment and why it is very important for our wealth.

Hi ,

Today we will discuss here what is investment and why it is much needed in now days life style.

What is investment:

Investment is the way where you can save your money to devaluate  from inflation and beat inflation by earn more money than inflation rate.

Now understand first what is inflation and how it impacted our wealth:

Suppose you have one lac. rupee in 2020 .So what is the value of this amount is in 2021 is near about
94k now you think how although you still have one lac. rupees in your pocket then answer is whatever you can buy in 2020 by using your one lac. rupee in 2021 that product/services price increase by 6% due to inflation (assume for exp.)  .Then you have to pay 1 lac. six thousand rs. in 2021 . This price depreciation rate process is called inflation rate .

Right now inflation rate is near about 6% which means whatever you have today there value would less 6% by next year and so on..
       

Now i hope you understand what is inflation now let's understand the way how can we save our wealth from inflation.


We can save our wealth by smartly invested our money so it can beat the inflation rate  

Let's discuss what we need to do and what don't-

1-Never put much cash in your home and avoid put extra money into bank

why we said these points because when you have much cash into your home then it not generate any money and when you put your money into bank account then it gives only 4% on your bank account deposited money approximately .

In both ways you can not beat the inflation rate so investment is only way to grow your money over the inflation rate.

2-Invest in various way to grow your money :

There are so many ways to invest your money which are given below

* Invest in mutual funds  

* Invest in banks fds.

* Invest in stock market.

* Invest in ppf.

* Invest in nps.

* Invest in real estate.
* Invest in gold.

* Invest in bonds.

* Invest in Bank rd.


For any query follow us 

Twitter      : @komalsecurities 
Mail           :Komalsecurities2019@gmail.com
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Comments

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