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What are the benefits of investing?

The benefits offered by investment are so many that it makes no sense why you should not make an investment. Investment helps you to attain retirement early in your life, to attain financial stability and it gives you flexibility with your own money(liquidity). You cannot get there simply by saving as your saving accounts won’t even beat inflation how can you expect that to provide you financial stability? But you can save and then invest the amount to achieve such goals 

1. Builds Wealth

If you want to build wealth and get rich, investment is the way. The wealthy have most of their money invested and the broke do not invest. It can be hard to start with little money but still, there are some government schemes that can help you start investing so start as early as possible.

2. Offer Liquidity

Stocks are by and large known as liquid resources since they can be effortlessly changed over completely to cash at any given point in time. But when compared with different asset classes, it’s harder to search for a purchaser for certain resources like property. On account of stocks, it’s a lot simpler on the grounds that the typical day-to-day volume of exchanges on NSE and BSE is high. It truly intends that there are a few buyers and sellers focusing on a particular stock.

3. Beats Inflation

If you don’t invest your money then over a period of time your money will lose its purchasing power all thanks to inflation. Inflation is increasing in prices of goods and reducing the capacity of your money to purchase goods. You should invest because investment does not only date information but also put money in your pocket. With an average return of 10% not only will you beat inflation but also increase the value of your money.

4. Retire Early

True retirement means you don’t have to work for money anymore, to achieve that you need to make your money work for you. Putting your money in saving accounts won’t do any good to provide early retirement. The early you invest and the more you invest will work in your favor and your money will compound eventually. Compounding is the 8th wonder of the world.

[financelancers]

Before investing one thing you must know is why are you investing. The foremost reason for investing is inflation, inflation basically means your money is losing its value over a period of time. For example, if you take $10k and you put it under the mattress and never looked back until 10 years and after 10 years you will realize that your 10 lacs will not be worth $10k.

[financelancers]

Books gives you great perspective on other's people opinion.

The first one is the most important.