What's the difference between investing and saving?

What's the difference between investing and saving?

Investing involves putting your money into assets like stocks or real estate to grow it over time, while saving is keeping money in a safe place, like a savings account, for short-term needs.

Which one is better for long-term financial growth?

Investing is generally better for long-term growth because it has the potential for higher returns compared to savings accounts, which usually offer lower interest rates.

Are there risks associated with investing?

Yes, investing comes with risks, such as market volatility and the potential loss of principal. It's important to research and understand your investments.

How can I start investing?

You can start by setting financial goals, educating yourself about different investment options, and considering opening a brokerage account.

What are some good investment options for beginners?

Good options for beginners include index funds, ETFs, and robo-advisors, as they offer diversification and lower risk.