Every Day Finance in your life -choose wisely about investing

 

In this world everyone work so hard for only one thing even agree or not that is money. Few are working to give that money not wealth to next generations and some are invest in different asset classes like gold, real estate, stocks, fixed deposits, bonds, Insurances( not investment really but risk mitigation instrument). hedge funds and mutual funds etc. But we don't know the basic financial calculations just we follow the advices from friends, family and some online sources. 

To grow your wealth, everyone should learn how money works and what differentiates having money in savings account and investing multiple asset classes along with risks and rewards associated with each type of investment.

Here I am providing the list of returns and risks associated with in your investments 

Finance is one of the complex and complicated subject that most of the people use day to day with and without knowledge. From purchasing daily utilities to luxury items like rolex watches and sports car. 
Everything comes with some price tag along with the opportunity cost. And in coming to the calculation of opportunity cost, they missed lot of things such as Time value of Money. How the price of money varies along with interest rate and time period.

Everyone should understand the Present value of Money and Future value of Money that would helps to take effective financial decision in terms of investment and purchases of individual or organisations. And helpful in identifying the alternative investment options which provide better returns than earlier.

Conclusion of this article is be patient and give the time to your money by nurturing your money by adding few more coins every month, quarterm half yearly and yearly and don't check frequently about growth. 

"Give your money to grow, Compounding will help you to be wealthy"