The meaning of investment

The meaning of investment

investmentInvestment in the basic terms can be defined as the allocation of anything that has a productive capacity to produce more valuable goods or services . In investment therefore you allocate a certain proportion or certain goods or services and make profits. In the case where money is used, investment can be defined as the allocation of a certain amount of money to purchase financial commodities or asset in order to gain returns in terms of profits. Everyone in this modern world has at one time or the other had to prefer investing. This is because of the dynamic word that turns every opportunity in making valuable returns. In the capitalist world, investment is just necessary for anyone who wants to add value to his or her statue. In investment, there has to be saving or deferring of consumption in order to increase appreciation of value of these goods. In other words, in order to gain interest, value appreciation or income, you have commit some resources like money and time.

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