What is Investment

Investment means – It is the act of committing money or capital to an endeavor with the expectation of obtaining an additional income or profit. It is a type of spending that involves the purchase of goods or services with the goal of generating future income or increasing the value of the asset.

Investment is usually associated with the purchase of financial assets such as stocks, bonds, mutual funds, real estate (Properties, House), and other securities. It can also refer to the purchase of physical assets such as property, machinery, and equipment.

When it comes to investing, the primary goal is to generate return that exceed the risk taken. Investment involves a certain risk and there is no guarantee to success every on. But it is important to understand the risks associated with any type of investment before earning money.   

Investment can be divided into two main categories: speculative and conservative. Speculative investments involve a higher level of risk and the potential for higher returns. These types of investments tend to involve more risk and generally require a greater level of knowledge and experience. Conservative investments involve a lower level of risk, but also tend to offer lower returns.  In order to be successful in investing, it is important to understand the different types of investments and the associated risks.