After having excess funds, we are ready to make an investment. Of course, investments are made because there is a purpose. In general, the purpose of investing is just in case. Many people say that one of the certainty in life is uncertainty.

Nowadays people are increasingly aware that the pleasure we experience today can suddenly disappear the next day. Human life is always surrounded by risks, both light and large. For this precaution, we invest so that it is expected that if something unexpected happens suddenly, in financial terms, we still have reserves in dealing with it.

The second goal of investing is to get profits. We invest to get short-term profits in the form of an increase in the value of the funds we invest.

The third goal is to defeat inflation. If we have a fund of Rs 1,000 and keep it in a cupboard, one year later the amount will remain the same. However, the ability to buy from our money will be reduced.

If we invest with funds of Rp 100,000, it is expected that one year in the future, our funds must grow at a minimum of Rp 180,000 so as not to be eroded by inflation. We hope to get investment returns far above the inflation rate.

The fourth goal is to have a more decent life. Everyone wants to progress in his life, one of them in personal life.

If you do not currently have a car, you are expected to someday buy a car. If you do not currently have a house, you are expected to be able to have a house to live in. To realize such desires, one way that can be taken is to invest as early as possible.

The fifth goal is to prepare funds in old age later. If someone retires, it means he can no longer expect income from the office where he works. So even in the family.

Remember, the main goal of a company is to make a profit so that the company does not concentrate on funding retirees who are no longer productive. Our children are not entirely reliable because they have also become adults and have their own needs to live their lives.

Therefore, like it or not, we have to prepare funds for our lives in old age later. So that we do not lack when enjoying our old age later. One of them is by investing early.

Author's Bio: 

I'm Mansi Dandekar, I am sharing an article about The Purpose of Investment. Here is more information on the Free Trading Tips and Stock Trading Tips.