Investing is a way to make money by putting your money into a business or financial asset and then waiting to get a return. According to Investopedia, investing is the act of creating financial profiles, plans, and portfolios that include the purchase of securities. Investing can be risky but can also produce high returns. In investment pitches, investors typically make three main points about investing.
Benjamin Graham was a famous investor who made his name with his investment strategy called value investing. The core idea of value investing is to buy an undervalued stock and sell it at a higher price later on. Famous investors such as Warren Buffett have followed Graham’s strategy, making them rich in the process. Another famous investor’s investment strategy is diversification. This means investing in different asset classes such as stocks, real estate, and bonds. Investing in different asset classes reduces risk while increasing the chances of earning a profit.
