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Home» Questions»Q 76316
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Finance Questions, Loans, Insurance & Investment Advice Latest Questions

Mike Smith
Mike SmithKnowledge Seeker
Asked: September 1, 20232023-09-01T09:31:08+00:00 2023-09-01T09:31:08+00:00In: Money & Business

What comes to your mind on hearing the financial term investment?

I cannot speak for everyone but in my own perspective I believe that investment is anything that gives an individual wealth in the form of money. It is okay for individuals to have different perspective as well as definition of what they say money as. However what do you guys think is the meaning or the description of the financial term investment.

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5 Answers

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  1. Augusta
    Augusta Enlightened Mentor
    2023-09-01T17:41:04+00:00Added an answer on September 1, 2023 at 5:41 pm

    Investment means putting in your money into any productive venture to gain financially from it. When I hear of investment it is about making extra money it can be a kind of side hustle as one don't need to be actively involved investment can be done on diverse ways. it is just to find investment plaRead more

    Investment means putting in your money into any productive venture to gain financially from it. When I hear of investment it is about making extra money it can be a kind of side hustle as one don’t need to be actively involved

    investment can be done on diverse ways. it is just to find investment plans or schemes that are legit and indulge your money. This can be a good source of income if one knows how to go about it and do it to the best of one’s abilities

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  2. yusra
    yusra Trusted Adviser
    2023-09-02T02:07:21+00:00Added an answer on September 2, 2023 at 2:07 am

    Here are some key things that come to mind when I hear the financial term "investment": Growth - One of the main goals of investing is to grow your money over time through interest, dividends, or appreciation. Investments are made with the aim of generating returns. Risk vs. Reward - All investmentsRead more

    Here are some key things that come to mind when I hear the financial term “investment”:

    • Growth – One of the main goals of investing is to grow your money over time through interest, dividends, or appreciation. Investments are made with the aim of generating returns.
    • Risk vs. Reward – All investments involve a certain amount of risk in order to seek reward. There’s always a chance an investment may lose value. Higher risk investments tend to have greater potential returns.
    • Diversification – Smart investors know not to put all their money into one type of investment. Diversifying across asset classes, markets, industries, etc. can reduce risk.
    • Time Horizon – The duration an investor plans to hold an investment for is crucial. Longer time horizons may suit more aggressive investments. Short term horizons warrant conservative investments.
    • Asset Allocation – Determining what percentage of investment funds to allocate to different assets like stocks, bonds, real estate etc. based on goals, risk tolerance and time horizon.
    • Compounding Returns – Earning returns on principal investment amount as well as previous gains and reinvesting it. Compounding can really grow wealth over time.
    • Inflation Hedge – Some asset types like equities or real estate can potentially outpace inflation and retain purchasing power better long term.
    • Tax Implications – Taxes on capital gains, dividends, income etc. can determine what types of accounts or assets one should invest in.

    The goal is always to make your money work hard for you by investing it wisely over time!

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  3. Avarose
    Avarose Enlightened Mentor
    2025-09-03T04:55:38+00:00Added an answer on September 3, 2025 at 4:55 am

    When I hear the word investment, I think of putting money or resources into something now with the hope of getting more back later. It’s about taking a risk to grow your wealth over time, whether that’s through stocks, property, a business, or even education. Everyone might see it a bit differently,Read more

    When I hear the word investment, I think of putting money or resources into something now with the hope of getting more back later. It’s about taking a risk to grow your wealth over time, whether that’s through stocks, property, a business, or even education. Everyone might see it a bit differently, but at its core, investment means planning for the future and making your money work for you.

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  4. Inem
    Inem Knowledge Seeker
    2025-09-03T08:39:59+00:00Added an answer on September 3, 2025 at 8:39 am

    When I hear financial investment, I always tilt to start thinking about anything that multiplies money with time. Normally, investments are meant to yield returns. And financial investments are expected to also yield profits. And for me, financial investment must have a tangible value that it is beiRead more

    When I hear financial investment, I always tilt to start thinking about anything that multiplies money with time. Normally, investments are meant to yield returns. And financial investments are expected to also yield profits. And for me, financial investment must have a tangible value that it is being utilized on that would bring the expected yield.

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  5. Carpon
    Carpon Expert Mind Hustler
    2025-09-03T08:58:07+00:00Added an answer on September 3, 2025 at 8:58 am

    Of a true there are different types of investments and just as you have done the work of narrowing it down now to financial investment I believe that it has to do with any kind of investment that requires or majorly revolves around money. You use the money you have to invest in something and get youRead more

    Of a true there are different types of investments and just as you have done the work of narrowing it down now to financial investment I believe that it has to do with any kind of investment that requires or majorly revolves around money.

    You use the money you have to invest in something and get your returns and that way you will be able to make profit from your investment

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