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Difference Between
Saving and Investment
Prof. Dennison Hastings | Leonton University
What’s inside
Why
invest
Explore the benefits
of investing
Saving vs.
Investing
Learn the difference
between saving and
investing
Balaeencing
Savings and
Investment
Discover some tips on
how to balance saving
and investing
Tips on
investing
Get started with
practical tips on
investing
Imagine this: You just found $100 on the ground.
What would you do with it? Would you stash it in your
wallet, spend it immediately, or try turning it into $200?
Are you a saver
or a spender?
Savings
Setting aside money, typically
in a bank account, for
future use
Investing
Involves buying assets that
have the potential for higher
returns
Saving vs.
Investing
The difference between
saving and investing
Saving vs. Investing
Savings Investing
Type of goal
Often for short-term goals, such as saving for
a large purchase or emergencies
May help reach long-term goals, such as
planning for retirement or paying a
child’s education
Time it takes to
access funds
Easily accessible Often takes a longer time to access
Risk involved
Involves minimal risk and funds are often
strictly regulated
Does not always guarantee a return and
losing the invested funds is possible
Earning potential Generally low
Has higher potential return compared to
a savings account
How much
should you
save vs. invest?
A good starting point is
saving 20% of your income.
After building your
emergency fund, begin
allocating any extra funds
toward investments.
emergency
fund
Saving
Financial goals for
saving vs. investing
Investing
vacation or
travel
new gadgets
car down-
payment
property
taxes
wealth
growth
child’s
education
business
home
ownership
retirement
Why should
you invest?
• Investing helps you stay ahead of rising
living costs caused by inflation
• Long-term investments also offer the
potential for compound interest and
significant wealth growth
Risk
Return
Profit or gain earned from an investment
The possibility of an investment losing value
The risk-return tradeoff
Investments differ in their potential returns and market risk levels
Risk
Return
Low risk
Low return
High risk
Higher potential return
Tips when
starting to
invest
Start by building an emergency fund
Setting aside 3-6 months’ worth of living expenses is
recommended.
Diversify your investment portfolio
Owning a mix of investments can protect your money in
case of market downturns.
Explore how to allocate your assets wisely
Balance risk and security by deciding how much to
allocate to stocks, bonds, and other investments based
on your financial goals and risk tolerance.
Savings vs. Investing
Savings involve setting aside
money for short-term goals,
while investing focuses on
buying assets with the
potential for higher returns.
Balancing saving and
investing
A good starting point is to
save 20% of your income
and build an emergency
fund before investing your
extra funds.
Tips when investing
When investing, consider
your risk tolerance and
ensure you diversify your
portfolio to manage risk
effectively.
Review
Investing can be intimidating
for beginners. Think of a fun
and simple analogy to
explain investment terms
and concepts, and present it
creatively on a poster.
Explain
investing using
analogies
Got questions?
Email
hello@reallygreatsite.com
Phone
123-456-7890
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Difference Between Saving slides And Investment Slides.pptx

  • 1. Difference Between Saving and Investment Prof. Dennison Hastings | Leonton University
  • 2. What’s inside Why invest Explore the benefits of investing Saving vs. Investing Learn the difference between saving and investing Balaeencing Savings and Investment Discover some tips on how to balance saving and investing Tips on investing Get started with practical tips on investing
  • 3. Imagine this: You just found $100 on the ground. What would you do with it? Would you stash it in your wallet, spend it immediately, or try turning it into $200? Are you a saver or a spender?
  • 4. Savings Setting aside money, typically in a bank account, for future use Investing Involves buying assets that have the potential for higher returns Saving vs. Investing The difference between saving and investing
  • 5. Saving vs. Investing Savings Investing Type of goal Often for short-term goals, such as saving for a large purchase or emergencies May help reach long-term goals, such as planning for retirement or paying a child’s education Time it takes to access funds Easily accessible Often takes a longer time to access Risk involved Involves minimal risk and funds are often strictly regulated Does not always guarantee a return and losing the invested funds is possible Earning potential Generally low Has higher potential return compared to a savings account
  • 6. How much should you save vs. invest? A good starting point is saving 20% of your income. After building your emergency fund, begin allocating any extra funds toward investments.
  • 7. emergency fund Saving Financial goals for saving vs. investing Investing vacation or travel new gadgets car down- payment property taxes wealth growth child’s education business home ownership retirement
  • 8. Why should you invest? • Investing helps you stay ahead of rising living costs caused by inflation • Long-term investments also offer the potential for compound interest and significant wealth growth
  • 9. Risk Return Profit or gain earned from an investment The possibility of an investment losing value The risk-return tradeoff Investments differ in their potential returns and market risk levels Risk Return Low risk Low return High risk Higher potential return
  • 10. Tips when starting to invest Start by building an emergency fund Setting aside 3-6 months’ worth of living expenses is recommended. Diversify your investment portfolio Owning a mix of investments can protect your money in case of market downturns. Explore how to allocate your assets wisely Balance risk and security by deciding how much to allocate to stocks, bonds, and other investments based on your financial goals and risk tolerance.
  • 11. Savings vs. Investing Savings involve setting aside money for short-term goals, while investing focuses on buying assets with the potential for higher returns. Balancing saving and investing A good starting point is to save 20% of your income and build an emergency fund before investing your extra funds. Tips when investing When investing, consider your risk tolerance and ensure you diversify your portfolio to manage risk effectively. Review
  • 12. Investing can be intimidating for beginners. Think of a fun and simple analogy to explain investment terms and concepts, and present it creatively on a poster. Explain investing using analogies
  • 14. This presentation template uses the following free fonts: You can find these fonts online too. TITLES: SOURCE SERIF PRO HEADERS: SOURCE SERIF PRO BODY COPY: OPEN SANS #BBEED6 #B8E28A #5EC57E #347175 #000000 Use these in your presentation. Delete or hide this page before presenting. Resource Page Fonts Design Elements Colors
  • 15. This presentation template is free for everyone to use, thanks to the following: Happy designing! for the presentation template Credits for the photos, graphics, and elements Pexels, Pixabay, Sketchify