Wednesday, 5 January 2011

Why You Should Invest


Investing has become increasingly important over the years, as the future of job security becomes unknown and you need to be financially survived during such uncertainty.

First, people want to insure their futures, and they know that if they are depending on retirement plans, that they may be in for a rude awakening when they no longer have the ability to earn a steady income.

You may have been saving money in a low interest savings account over the years. Now, you want to see that money grow at a faster pace. Perhaps you’ve inherited money or realized some other type of windfall, and you need a way to make that money grow.

Second, you also want to attain the things that you want, such as a new home, a college education for your children, or expensive ‘toys.’ Of course, your financial goals will determine what type of investing you do.

If you want or need to make a lot of money fast, you would be more interested in higher risk one, which will give you a larger return. If you are saving for something in the far off future, such as retirement, you would want to make a higher return with safer instrument that grow over a longer period of time.

The overall purpose is to create wealth and security, over a period of time. It is important to remember that you will not always be able to earn an income… you will eventually want to retire.

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