Wednesday, December 3, 2008


The word "investment" can be defined in many ways according to different theories and principles. It is a term that can be used in a number of contexts.

However, the different meanings of "investment" are more alike than dissimilar. Generally, investment is the application of money for earning more money. Investment also means savings or savings made through delayed consumption.

According to economists, investment is the utilization of resources in order to increase income or production output in the future. An amount deposited into a bank or machinery that is purchased in anticipation of earning income in the long run are both examples of investments.

Although there is a general broad definition to the term investment, it carries slightly different meanings to different industrial sectors.

According to economists, investment refers to any physical or tangible asset, for example, a building or machinery and equipment. On the other hand, finance professionals define an investment as money utilized for buying financial assets, for example stocks, bonds, bullion, real properties, and precious items.

According to finance, the practice of investment refers to the buying of a financial product or any valued item with an anticipation that positive returns will be received in the future. The most important feature of financial investments is that they carry high market liquidity.

The method used for evaluating the value of a financial investment is known as valuation. According to business theories, investment is that activity in which a manufacturer buys a physical asset, for example, stock or production equipment, in expectation that this will help the business to prosper in the long run.

Nowadays, In this current generation as well as current situation, as all of us know that, there is recession in economy, so many lost their jobs and r unable to come out of deep sea eventhough they r professional swimmers. When this happens with other citizens as well, what must be the criteria with other person who also faces some or the otherday?? Have we ever thought of helping and guiding them how to invest??What is the importance/need of Investment??

we are becoming Selfish..we r least bothered about our own people who suffer in the long run..Nowadays, Young Generation, prefers to work in MNC's, without even analyzing their future in MNC!! What sureity that a person gets that his job is permanent when he/she joins a MNC..People r very crazy of Money!!

MNC pays Rs.20,000/- for Training and double will be the pay after training is over!! What do u achieve by getting 40,000/-.They r almost sacrificing half of their life in companys' working more than 10hrs-12hrs..they dont even find time to spend with family members!! no outing nothing!! Simply working more than DONKEYS!!Moreover, people cant work after 40's if they r working in MNC's, bcoz of health disorders!! Health disorders may be bcoz of sitting long hrs in Front of computer, Strain for eyes, will suffer from back pain!!Do we get pension?? after retirement!! no..Only in Government Jobs we get pension..MNC may provide with Health Insurance, but will they provide even after our retirement?? No..Never!!

We r human beings..Not animals..No doubt..Money is very essentail in current generation..But do u think, only MNS'c can provide u with luxury,comfort?? If a person is working in Teaching field[as lecturer/professor/kindergarden teacher] ppl neglect them, as though they r somewhat useless work!! Even teaching field is good..only few people agree vth teaching field..but what about others??

A person may be a maid-servant, cleaner, driver, teacher, manager,director,executive,CEO, what all designations he may ve..Investment plays a vital role in each and everybody's Life..

Employee knows that, he/she has to invest, but are unaware of how to Invest??

Since I am pursuing with Bachelor of Commerce in Accounts and Finance[B.C.A.F, Professional Bcom], I would like to share an example with all my Near and Dear One's!!

Suppose, If A is earning Rs. 40,000, and B is earning Rs.30,000 working in good reputed MNC's..If their monthly expenditure is Rs.20,000/- and remaining 20k of A and 10k of B should be invested!! But, if A has kept Rs.10k[for emergency] and B has kept Rs.5k[for emergency], A will invest remaining Rs.10k in his account and B will Invest Rs.5k in his account!!

Now, after 10yrs, they need double the amount for expenditure living with the same standard of living..without purchasing any fixed assets and leading their life economically can help them to save money for the future.. But, Saying is easiest way than doing it practically!!

At this moment, B feels that, Rs.5k is more than enough even for an emergency, but what a person can get vth Rs.5k..Nowadays, Rs.5k is nothing..its like Rs.5/-

When do we understand amount Investment/Finance/Banking??If a person specialized in Accounts and Finance field and wish to enhance knowledge regarding this to others'..some r least bothered to listen!! They say, This is very boring topic and Y r u heating our head?? Plz dont Bombard with loads of Info regarding this..Bcoz we feel we r unsecure, even though we r earning lakhs of Rupees!!

Investment is needed for us as well as for our future generation; which includes,

  1. Education

  2. Marriage

  3. Health

  4. Old age

  5. To acquire Fixed Assets

  6. Many of us will ve dream of having Buckinghum Palace

Some of them feel funny/silly when I ve listed out the requirements/need/essentials of Investing!! But ve we ever thought of Investment??our future?? no never we do that!! If we start thinking/analyzing, then immediately within a fraction of a second we stop thinking and will never bother to think again..Assumption will be common among all of us, i.e; Lets accept what all comes in our way, What all is written in our fate, that what happens and no one can help for it nor can change our fate!!

But we have to be ready for each and every circumstance/situation..Life is Uncertain and anything can happen at any point of time..

Former President of India, A.P.J.Abdul Kalam had said in his speech to every Indian that, "We are the first in milk production.We are number one in Remote sensing satellites.We are the second largest producer of wheat.We are the second largest producer of rice."

We shall question ourselves that What about in economy??When will we overcome with Poverty??

So, we being responsible citizens of India, lets think how to overcome with poverty and try to educate people who are lacking behind in this regard!!

We shall take a Oath of overcoming Poverty in India!! Prove urselves what u r..

Thanks for devoting ur precious time in reading this article..I felt like sharing about investement with all my near and dear ones'..So I ve poured all my feelings, emotions, views,thoughts with regards to our Nation and also felt like enhacing knowledge about Investment to the people of our country!!Thanks a Lot..For having patience, deep Interest in Reading this!!

I think, I ve bombarded and also heated up ur Brains by providing and also somewhat including with Debate kind of Info in this Article!!