You will learn about the importance of investment and Stages of Investment.

1. MADE BY
INDER PANDA
B.COM (HON)

2.  INVESTMENT and its objectives
 SAVING AND SAVINGS
 WHY should we save and invest
 FOUR STAGE OF INVESTMENT
 RISK IN INVESTMENT

3. THE AIM OF THE COURSE IS TO GIVE THE
KNOWLEDGE AND CONFIDENCE ABOUT
OUR INVESTMENT AND FOR OUR
FUTURE SAVING.

4. The use of resources today for the purpose of
increase in productivity or income in the
future is known as Investment.
OBJECTIVE OF INVESTMENT
 Generating addition source of income.
 Financial future needs.
 The overall objective, to earn more money with your
money.

5. Saving refers to a flow of money in a particular time
period – such as putting money into a building society
account.
Savings are the current value of all the sum of our
previous saving.
Saving is connected to savings because saving in any given
time period will add to the accumulated sum of
savings.

6. The purpose of investing should be to fulfill our dreams and
without a goal or purpose we can not save at all.
One important reason for saving is known as the ‘precautionary
motive’ commonly known as ‘saving for a rainy day’.
The other reason for saving can be for a specific purposes like saving
for retirement, for child higher education, or buying a new home
or a car in a future etc.

8. 1. TIME HORIZON
First we have to check our investments to the time horizon that
applies to you. Are you a short-, medium- or long-term investor?
FOR THE TIME HORIZON WE HAVE TO SEE THE FOLLOWING POINTS
 What are you investing for?
 When you likely to need the funds invested?
 Have you taken inflation into account?
2. CHECK OUT YOUR RISK APPETITE
This is linked to your time horizon, long term investment has low risk as
compared to short term investment. Since the longer the period you can
invest your money, the higher investment will you get as compared to
short period.

9. 3. MAKE YOUR DECISION ABOUT WHERE AND HOW TO INVEST
 Take advice before you invest.
 Checked out the tax liability.
 How do you invest the money? Either by the help of financial firm or
do it yourself through internet.
 And, finally check your investment which really match your time
horizon and risk appetite.
4. REVIEW YOUR PORTFOLIO
Review your investments and do it regularly.
 Changes in financial market
 Changes in interest rates
 Changes in share price

10.  Risk can be defined as the possibility that an
actual return on an investment will be lower than
expected return.
 Investing involves some risk.
 The greater the risk you are willing to take the
greater the potential returns.
 Different types of risk include:
 Short-Term vs. Long-Term Risk, Inflation and
Interest Rate Risk, Political Risk, Market Risk, and
Company or Industry Risk.
RISK

11. THANK YOU