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Investing vs. Saving

You have heard me talk about it before, investing is not saving.
These two have different purposes and demand different strategies.

Savings requires a very low degree of risk, whereas investing allows for some, but not too much.

For many, a business can be an investment. You may have your retirement money invested in a 401k, IRA and your children’s education expenses. Most of these vehicles are in stock market related investments like mutual funds or stocks.


These last few years the market has been so unpredictable… let’s face it, it’s always unpredictable.

Can you imagine the market crashing [and your money cut in half] just when ‘Junior’ is about to go to college and or you are wanting to retire?

Any money saved outside of your business, you will want:

  • Safe
  • Liquid
  • Guaranteed
  • Protected

The main point is to think of saving and investing as distinct and different strategies that work together to produce wealth.


To read or listen to my full article on Investing vs. Saving
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