What is the Definition of Investment

It is an asset or an item purchased with the expectation of a future profit.

Despite the fact that assets and investments appear to be the same, they are not. Assets are valuable things with the ability to increase, lose, or maintain their value. Investments share the same features as assets, but they provide additional monetary value. So, in terms of finance, an investment is an asset that is purchased with the purpose of increasing in value over time.

The money gained can be used for a variety of purposes, including a steady source of secondary (or primary) income, bridging income gaps, saving for retirement, and satisfying specific commitments such as debt repayment, tuition fees, or the acquisition of other assets.

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