Investments mean putting money in order to earn more money. It is a process which can help an investor to meet financial goals like buying a new house, paying for college education of children, enjoying a comfortable retirement, or whatever is important to the investor. There are many ways to invest the money, which are different from each other depending on there on risk factor and returns they provide. The single greatest factor, by far, in growing your long-term wealth is the rate of return you get on your investment. But the need is to decide about how much a person wants to invest and where. There are times, though, when you may need to park your money someplace for a short time, even though you won't get very good returns.
In order to invest wisely, an investor should know the various investment options thoroughly and their relative risk exposures and he has to find the characteristics and other details of those investments methods.
