Thursday, December 11, 2008

Invest smarter! Get returns bigger!!

By: MyInvestorsPlace
Investment is the choice by the individual to risk savings with the hope of gain. Investment is not just a blandly apolitical process by which money is mysteriously made to grow, but a process in which governments and companies define, redistribute access to assets, determining who accumulates wealth and at whose expense. To influence this process, the public needs to know how investment works, who are the main players and what their trends.

Foreign direct investment (FDI) is not clear route to economic growth, but, for various reasons and in many cases, FDI leads to an outflow of capital rather, than an inflow in some countries. A transnational corporation engages in several types of foreign investments. Foreign direct investment (FDI) is an investment by a firm in a foreign country to acquire real assets such as equipment, plant, and land or real estate with the aim of maintaining control over the management.

There are so many Specific views, plans or ideas to invest money effectively. Investment ideas involve advice of an investment advisor and the expertise who recommends different investment tools based on individual circumstances. There are so many social networks which are available for investors that discuss interesting and informative ideas in all the aspects of the investment world. Investment idea for a particular investor will depends on that person's stage of life; this is one of the main factor investor has to make a note. Young investor can take more risks, so advisor will like to recommend stocks or mutual funds to younger investors. Investors who are approaching retirement, however, will most likely find it more beneficial to take on lower-risk, short-term investments such as bonds and T-bills. Another factor that affects investment ideas is the risk-return tradeoff. Each investor has their own sensitivity to risk, which will influence investment decisions. It's interesting how people associate time with money - they talk about it in monetary terms: they can spend it, waste it, or invest it.

The fundamental decision of business management is the investment decision. Managers determine the investment value of the assets that a business enterprise has within its control or possession. These assets may be physical such as buildings or machinery, intangible such as software, patents, goodwill, or financial. Assets are used to produce streams of revenue that often are associated with particular outflows or costs. The manager must determine whether the net present value of the investment to the Organization is positive using the marginal cost of capital that is associated with the particular area of business.

In terms of financial assets, these are often marketable securities such as a company stock such as an equity investment or bonds such as debt investment. The goal of the investment is for producing future cash flows, while at others it may be for purposes of gaining access to more assets by establishing control or influence over the operation of a second company. The investment tools and ideas are provided by some social networking sites.

www.myinvestorsplace.com/ - A social network for investors that discuss interesting and informative ideas in all the aspects of the investment world.

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