Saving Regularly Vs Investing Regularly

[Mika]

If you have a regular income and belong to the middle class, you can do two things to improve your finances, one, save regularly, and two, invest regularly. Between these two, which do you think is better?

Well, the answer depends on your risk tolerance level. If you are a risk taker, you can invest regularly. Investing will yield better profits, however, your investment can also go wrong. However, if you are afraid to take risks, you can save regularly. You will also have to save in a saving account in a bank to receive interest on your saving. Even if you receive interest on your saving, your return on savings will be comparatively lower than the return on your investment.

So, what should you do, save regularly or invest regularly?

Find a middle path, save regularly as well as invest regularly. If you were saving/investing 20 percent of your income, split it into 10-10 percent in saving and investing.

 

[Carpon]

Thank you for the this post and I strongly concur with the ideas you have shared in the thread.

I just have a question to ask in the aspect of investing. You made mention of dividing your funds and saving a percentage of it while investing another percentage

Now my question is what ways can one invest his or her funds. Like personally, I wish to invest part of my savings but I do not know what medium I can invest through and that is why I decided to place this question here hoping you can give some advises and refer me to some investment avenues that are available to small scale earners like me in a country like Nigeria

 

[Heartstrings]

You sure have a good point. Truly you can invest and save at the same time,and it also depends on what you are capable of? This also seems confusing. If you are to save regularly make sure it is what you really want to do and don't go into from one to another. To me I Will say I will save regularly, investment can go wrong as you stated but saving is more safe in my own opinion. With savings you know, you have something secured somewhere, whatever means you decide to save but the most secured one is in the bank. Before you knew it you have saved so much to your own amazement. While investment can go wrong and all your hard earned money gone.

Lastly, what works for A may not work for B. Saving or investment, whatever works for every individual.