Investment

Investment refers to the act of allocating resources, usually money, with the expectation of generating an income or profit in the future. It involves the purchase of assets such as stocks, bonds, real estate, or businesses, which are expected to appreciate in value over time or produce returns in the form of interest, dividends, or capital gains. Investments can vary in terms of risk and return; typically, higher potential returns are associated with higher risks. The goal of investing is to grow wealth, build savings for future needs, or achieve specific financial objectives. Investment strategies may include long-term holding, active trading, diversification, or leveraging financial instruments. Overall, investment plays a crucial role in personal finance and economic growth, facilitating the use of capital to fund business activities and innovation.