The first step in the investment process is the development of a <u>policy statement.</u>
<u></u>
Investing is dedicating an asset to achieve an increase in value over a period of time. Making an investment requires sacrificing your current assets such as time, money, and effort.
In finance, the purpose of investment is to make a profit on the money invested. Where income consists of realized gains (profits) or losses on the sale of real property or investments, unrealized capital appreciation (or depreciation), investment income such as dividends, interest or rental income, or a combination of capital gains and income there is.
Returns may also include currency gains or losses due to exchange rate fluctuations.
Investors generally expect higher returns from riskier assets. Low-risk investments usually have lower returns as well. Similarly, high risk is associated with high return opportunities.
learn more about investment here; brainly.com/question/1305349
#SPJ4
