When it comes to investing, people are a bit apprehensive. Investing can be a very confusing concept for many, with the many mixed signals that are coming from the talking heads on FOX, CNBC and other media sources makes people hesitant to delve in the investing world. The complex information, big words, hot tips and insider trading is what first comes to mind when one is about delve in stock investment. Penny Stock picks this opportunity to inform everyone that what people say on TV are just lies. Most people who are talking nonsense about investing are just getting paid for to tell lies and confuse people. The truth about investing is not really as complex as other people want to project it to be. Investing is all about lending your money to an institution or an individual. In return, your money can end up doubled than to the amount of your original investment. In short, people are investing their money in the hopes to acquire more in return.
- People invest in fighting against inflation
For a more technical reason, people opt to invest in fighting of the pressure of inflation. The higher the price of the services and goods are the more money you needed to acquire. FED or Federal Reserve tries to manipulate and control the inflation. It is them who thinks that inflation is actually good for the economy but, for those whose wages have not kept up with inflation for years now may want to disagree. Dollars are becoming worthless and prices kept on going up but, what sucks more is if your money is not well invested. In short, it just collects dust at the bottom of your bed. If you refuse to invest, chances are you lose your money’s worth.
- Investing in order to meet a specific goal
People worries on what happens when they retire. Without proper plan and goals on the future, chances are you will end up with no money and still looking for a job to keep you going every day. In investing, it allows you to set aside money for specific goals. Some of the investment can also provide tax benefits that let you save without worrying about any taxes.
People do not just invest to make more money, there are some reasons that drive people to invest more and to entrust their hard earned money to other people for such goals like getting ready for their retirement or for the future of their kids.