the investment of contemporary resources in a particular activity that is expected to bring expected future benefits and which one believes will yield higher results, which is how we define investment. The realization of an investment may involve the conduct of a business or, conversely, the purchase of various investment instruments that are expected to rise in value and generate a profit when sold in the future. Investments are all around us and it is important to know how to define and divide them. Financial markets change with world events, so there are down phases and up phases.
Investment Allocation
The basic method of investment allocation depends on many factors. The most commonly used classification is by the type of financial instrument used. Which are. [real investments
Biased primarily toward tangible goods and business activities. Direct business investment is the most widespread.
This group can be further subdivided into the following investments:
– direct business
– purchase of real estate
– purchase of real estate
– purchase of goods
2. Financial investments are characterized by transactions conducted by deed or legal document characterized by transactions carried out by means of deeds, and these deeds, which must meet certain conditions, are called “securities” in the financial world.
3. Securities serve as evidence to investors of their rights under these securities and also inform them of the various types of these investments. Securities are transferable.
Classification of financial investments:
– Cash deposits
– Loans and credit
– Purchases of securities
What rights are guaranteed when legally recognizable documents are obtained for financial investments?
– Right to return of assets
– Right to prescribed financial remuneration
– Right to share in profits
– Right to co-determine the use of the money provided [61]