However the investments your money is likely to grow as it earns some return on investment, profits where as with the savings it's literally keeping your money in a bank account which may unnecessarily earn anything.
The simple difference between investing and saving
- Thread starter Kennysplash
- Start date
Investment is critical and so is savings, meaning that it is very important to save and to invest at the same time.
Indeed, we have to do both of them, saving and investment are really important today, covid19 teaches us a lot of things and covid19 teach me to make my first investment in the stock market, there's always a first time for everything, right? and I'll take my first time
That's fine, in fact as you say we have to do both and you are right, in addition the best investments are made with the money saved, since you will have more cautious of how to use it since it is hard-earned money and not for example invest by borrowing.
indeed my friend @riberet19 saving for long-term and short-term goals, it is based on the occasion for sure, but for investment, I do it for long-term goals (even in the stock markets sometimes I do short time things to depends on the condition of the market
Yes, great results and life-changing money comes in the long term in investments, in the short term it is very difficult to achieve decent results, but it is not impossible, but you have the right mentality, I am glad that it is.
Saving money means you store money safely so that it is available when you need it. You earn interest if you put money in a bank. But the interest may not be able to hedge against inflation. Investment comes with risk, but also the potential for higher returns. You make money work for you.
Well, investing and saving are two different things. When you invest, you make your money work for you. Money is worth less and less, and investing is a great way to earn even more. Of course, you would need skills to succeed in investing.
Savings is just reservation of money while investment is putting money to work with hope of getting more money from it.
Investing is putting money in something that gives you a return of profit in the short or long term and saving is the money you will have so that whatever happens you have an economic support and can live by spending the money you have little by little.
