To Save Or To Invest, That Is The Question


Most of us want to grow our money. We might want to buy something of our own or to look out for our future. Whatever the case, there are two main strategies to consider. One is to save up the money, the other is to invest it into something else. But which is best for you? That’s the question I am going to try answer now.

Savings – The Pros

The first thing that you have to recognise about saving is that it’s just a lot safer. Few are the cases where savings are at any risks of disappearing. If you’re smart with them, you can keep them growing reliably for a long time and capitalise on the benefits of cumulative interest. So long as you can resist touching the account and have it paid directly from your paycheck, it’s a kind of growth you can rely on.

Savings – The Cons

However, it’s not a manner of growth you can rely on if you want to actually grow your money. Savings accounts have low-interest rates. Cumulative interest will help, yes, but it will take a long time to properly kick in. Then it’s all for nought if you need to touch the account and get some money out. In some cases, interest might even be slower than the rate of inflation. So, by saving up money, you might actually be losing some in the end. Plus, it’s worth mentioning that even bank accounts aren’t 100% future proof.

Investing – The Pros

With investing, you can get a lot more hands on with how you grow your money. There are a lot of different kinds of investing, too. You can invest in property, in assets, in business and in the markets. Even the more complicated ones like binary trading have methods like the Brit Method which can automate some of the processes for you. Then you have the fact that most of the rich people in the world didn’t get rich through a job or savings. They got rich by investing. It really is the best, potentially, in growing money.

Investing – The Cons

It’s also risky. Even with automated methods helping you navigate the markets, you need to know what you’re doing. If you don’t, you could lose almost everything. It also takes a lot of time. To invest smartly, you need to invest diversely. You can’t put all your money in one investment and expect to go well. You have to manage a portfolio of different trades. You also have to be careful what sources you follow. Many might try to get you to speculate on their own interests, only to prove less than trustworthy down the line.

It all depends on your priorities, in the end. If you know what you’re doing and you want to really make money, investing is the only way to go. However, if you want to keep hold of what is yours with much less risk, you might consider saving. One is for wealth growing, the other is for keeping it in place.


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