What is Investment?

                                                           

Investment is an activity that is engaged in by people who have savings. Investment is one or more two assets that are held over some future time period. The investment will be selected on the basis of the portfolio. Here portfolio means different sectors of investment and whenever you will invest that time you have to carefully select the acceptable sectors in the portfolio. 


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 a certain level of risk and provides the possibility of generating returns over a period of time. 


When an asset is bought or a given amount of money is invested in the bank, there is anticipation that some return will be received from the investment in the future. Investment is an important part of the business and any other sector of your money. So we can say the investment is a process of re-use of your idle money. If you carefully select a potential sector for your investment you can double your money from that opportunity.


Types of Investment:


1. Autonomous Investment:

Investment which does not change with the changes in income level is called Autonomous or Government Investment.


2. Induced Investment:

Investment which changes with the changes in the income level is called Induced Investment.


3. Financial Investment:

The investment made in buying financial instruments such as new shares, bonds, securities, etc. is considered as a Financial Investment.


4. Real Investment:

The investment made in new plants and equipment, construction of public utilities like schools, roads, and railways, etc., are considered as Real Investment.


5. Planned Investment:

The investment made with a plan in several sectors of the economy with specific objectives is called Planned or Intended Investment.



6. Unplanned Investment:

Investment done without any planning is called an Unplanned or Unintended Investment.


7. Gross Investment:

Gross Investment means the total amount of money spent for the creation of new capital assets like Plant and Machinery, Factory Building, etc.


8. Net Investment:

Net Investment is Gross Investment less (minus) Capital Consumption (Depreciation) during a period of time, usually a year.


9. Entrepreneurial Investment:

The interested investment parties who are interested to invest in entrepreneurial activities.


10.Brand Investor:

Who is interested in promoting a brand having a profit percentage?




Category and Tags
More stories by
India exports rockets and explosives to Israel aimed at the Gaza genocide

India's export of military equipment to Israel amid the ongoing conflict in Gaza has sparked significant controversy and debate. Critics argue that these exports may implicate India in potential violations of interna...

3ZERO Pitch Competition Held at Dhaka University to Promote Empathy-Driven Entrepreneurship

April 12, 2025 | Faculty of Business, University of DhakaUddog o Uddokta Bangladesh successfully hosted the 3ZERO Pitch Competition and Project Closing Event on April 12, 2025, at the Prof. Dr. Abdullah Farouk Multipurpose Hall, Faculty of Business,

MOJO, Bangladesh’s Bold Beverage That Could Rival Coca-Cola Globally

In a world dominated by global beverage giants like Coca-Cola and Pepsi, few local brands dare to dream beyond borders. But Bangladesh’s very own MOJO, a bold and vibrant soft drink brand, is not only dreaming big — it’s showing real potential

Bangladesh Chief Adviser urges Thailand to ease visa procedures

Photo: Fb/ChiefAdviserGOBBangkok, Thailand, April 4, 2025: Chief Adviser Professor Muhammad Yunus on Friday urged the Prime Minister of Thailand, Paetongtarn Shinawatra, to ease...

Why Bangladesh Should Implement Monorail Transportation?

Bangladesh, a rapidly developing nation with a growing population and increasing urban congestion, requires modern and efficient transport solutions. While the country has made significant progress in road and rail infrastructure, severe traffic cong

Follow Business Habit on Facebook, Twitter