investment

A small investment

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  Many individuals have relatively small amounts of money, and are looking for a set of ideas that help them invest and increase them; that is, converting the small amount into a large amount during a specific period of time, which may be measured by weeks, months, or years.  And when an individual succeeds in investing a small amount and converting it into a large amount and then converting it to a larger amount, then he is able to achieve the concept of investment and apply it realistically in a correct way.  Methods of investing a small amount, for example: To invest an amount of $ 500 and convert it into $ 1,000, one of the methods that help in the success of this investment can be applied, which are: Bonds: It is a type of stock that carries a variety of financial value, or specific categories.  From the money, the bonds operate according to the principle of financial debt, i.e. the investor purchases the bond and postpones the payment of its price until he sells the value again at an amount higher than the purchase price, and thus he is able to make a profit from the amount of the investment, and then invest it again or save it.  Example: Buying bonds worth $ 500 over a deferred payment period, and then offering them for sale worth $ 600, and when sold, a profit of $ 100 is made.  Shares: are financial shares that are purchased within the capital of companies and institutions that offer part of their shares for trading so that the investor (the shareholder) becomes a party to the owners of companies and institutions, or within the shareholders in the growth of capital over time, and usually, the shares achieve profits through  Put it to circulation by selling it. Example: Buying shares worth $ 500, and after days or months after buying them, they are sold for $ 800 when their value increases in the financial market, which contributes to applying the correct concept of investment and achieving financial profits. 

Investment funds: They are a group of financial funds that contain stocks and bonds that investors buy their contents, and then work on investing them according to their own fields, and they may be sold later at a price higher than the purchase price, and thus the concept of investment is applied in a correct way, usually focusing  Mutual funds will convert the value of bonds and small shares into a large value, in case their owner does not want to sell them at a price higher than the purchase price.  Investment characteristics Investment is generally characterized by a set of characteristics, which are: Investment is one of the financial development methods in various business sectors.  Investment is not limited to a specific group of individuals or companies, but rather includes all groups.  Investment usually depends on two types of assets: real assets such as buildings and vehicles, and financial assets such as money and stocks.  The investment is classified as a type of commitment that contributes to developing existing resources and increasing their size over time.  The importance of investment for investment is of great importance in influencing societies, and hence on individuals and enterprises, and the importance of investment is summarized according to the following: [4] Investment contributes to increasing opportunities for local production in countries.  One of the most important factors responsible for global economic development is an investment.  Investment in conservation helps develop savings for individuals and institutions.  Investment supports entrepreneurship, by providing financial support for new ideas

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