We all like to put our money somewhere where it can grow in value. Most of us decide to put it in a savings account. Putting it in a savings account is the most secure way to preserve our money in our minds. I’ll give you two reasons for why you should always invest your money instead of saving it in bank account.
Most of us think of investing as a gambling. Whenever the word investing comes we immediately think of stock market and we decide to not go for investing. Money can be invested in number of ways and in number of things. You can put your money in real estate, gold, land and of course in stock market. Even if you don’t have a large amount of money, you can always start with a smaller amount. Everyone should opt for investing their money and see it grow in value.
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Here are the two reasons to always invest your money instead of saving it in a bank account.
1. If you don’t invest your money then its value will decrease with time
Your money will lose its value if its being kept in bank account. Let’s suppose you saved 10000/- in your account and your bank gives you 3% interest rate per annum. After one year your 10000/- will become 10300/- and in the mean time the prices of vegetables & fruits have gone up, prices of petrol & diesel have touched the sky and all the basic day to day life things have become expensive but your money is only grown by 300/-. So now your 10300/- will not be able to buy things which you can buy with 10000/- a year ago. It has decreased in value because you didn’t invest your money.
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The value of your money doesn’t go up with the inflation if its kept in your savings account. Therefor you need to put your money somewhere where it can also grow with the same rate. Investing in stock market is one of the easiest way to invest your money. You can start with a small amount. You can also invest in land & property or in gold. With investing your money you give it a chance to grow with the market and with this it will not lose its value.
2. You give yourself financial freedom if you invest your money
If you invest your money in stock market, gold or in real estate, it can give you the large percentage of return. Yes, there is a chance that you may lose your money in stock market, There is 1 big mistake in stock market most of us make and it costs us our money. But if we can avoid that mistake then stock market can turn out to be very useful.
With good return of our investment and investing gradually and smartly we can actually overcome our financial problems. It can actually give us the financial freedom which most of us can’t get from our job. If you are able to make some smart investments then its possible that you may not have to worry for your job again. You will become financially stable and independent. So its always good to invest your money because it has a lot of potential which savings account doesn’t have.
If you want to learn about stock market then checkout this article
Ways of Trading: Long-term and Intraday
These are the two main reasons according to me for which I think you should always invest your money. It will be very beneficial for you and there is no harm in it as long as you don’t make any rash decisions. Hope this article was helpful to you.
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