Why should you invest?

Why should you invest?

Investing is an important part of growing your wealth, and may be done in a safe, responsible manner if carried out correctly. Here are two reasons to invest:

1. To beat inflation: Currencies tend to lose value in the long run. For that reason, it is often though best to have your money in assets that appreciate at a rate higher than the rate of inflation. There is no guarantee that your investments will appreciate, however, in the case they do, it is a way around inflation.
2. To create a source of passive income: By investing in shares that pay dividends, you may be able to benefit from consistent dividend payments by just holding stock. It is important to note that not all stocks pay dividends, and past dividend payments do not guarantee future payments.

Please keep in mind that when investing, your capital is at risk.