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Query

Santhosh Poojary (SIEMPRE AHÍ PARA TI) (15607 Points)

18 December 2009

what is the diffrence Between SAVINGS & INVESTMENT.....? anyone...?

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6 Replies

CA. ANKUR JAIN (CA.....) (2800 Points)
Replied 18 December 2009

hmmmmmm we can say savings is something wat u have secured for future and if it is invested somewhr to gain present benifits too then it is investment......

right?????

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CA.Tarun Maheshwari (CA, DISA) (7150 Points)
Replied 18 December 2009

Saving is 'Cutting in Expenses' and Investment is 'Addition into Revenue from your saving'

CourseCart.in (Mentor at SHAYVIDZ Academy) (3756 Points)
Replied 18 December 2009

Sonu..

Saving

Saving is the conservation of money. Methods of saving include putting money aside in a bank or

pension plan.

Saving also includes reducing expenditures, such as recurring costs. In terms of

personal finance, saving specifies low-risk preservation of money, as in a

deposit account, versus

investment, wherein risk is higher.

Investment

Investment is the active redirection of resources/assets to creating benefits in the future; the use of resources/assets to earn income or profit in the future. It is related to saving or deferring consumption.^[^{citation needed}^] Investment is involved in many areas of the economy, such as business management and finance no matter for households, firms, or governments. An investment involves the choice by an individual or an organization such as a pension fund, after some analysis or thought, to place or lend money in a vehicle, instrument or asset, such as property, commodity, stock, bond, financial derivatives (e.g. futures or options), or the foreign asset denominated in foreign currency, that has certain level of risk and provides the possibility of generating returns over a period of time.