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According to chapter 9 what are the characteristics of an investment?

According to chapter 9 what are the characteristics of an investment?

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Answer #1

Main Characteristics of an investment are:

Returns: The investment purpose is to receive return , return should be good enough for the person investing and should be fruitful

Risk: Risk is like an inherent component of investment, investment and risk go hand in hand , risk and return are directly  related, higher the risk , higher the return, lower the risk , lower the return

Safety: Investment is done for safe gaurding the extra cash with the person

Liquidity: Investment should be easily encashable and not be rigid, it should be useful in time of need

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