Advantages of investment is that people can use well managed investment plans as a prudent means of saving and growing money that might be needed in the future.
The essential quality of an investment is that, it involves ‘waiting’ for a reward.
It involves the commitment of resources which have been saved or put away from current consumption in the hope that some benefits will accrue in future.
Investment is the process performed by an investor of purchasing a stock, bond, certificate of deposit, commodity, real estate or another investment vehicle with the expectation of earning a positive financial return over time.
Investment is the allocation of monetary resources to assets that are expected to yield some gain or positive return over a given period of time. These assets range from safe investments to risky investments. Investments in this form are also called ‘Financial Investments’.
Longer life expectancy or planning for retirement, increasing rates of taxation, high interest rates, high rate of inflation, larger incomes and availability of a complex number of investment outlets.