Saving money is half the battle won, the other half is making your money grow. Learn about how to make your money work hard for you, instead of the other way around!
Investment can be understood as follows:
Now if you invest then you will:
Investment decisions should be made on basic criteria:
Safety: while investing you must ensure your investment is safe.
Liquidity: Whether it will be possible to get it back when you want or if you want money back in 10 years. You must be able to get it back whenever you want to.
Returns: Many times all these criteria contradict with each other-e.g. Long term investments might have higher rate of return, but they are not liquid or the investments where there are higher returns are not safe. While investing we have to look into all three aspects and balance them.
Save 10% of everything you earn from an early age and you will end up with a comfortable sum.Invest 10 % and you could end up rich.