In: Economics
Even though it's posted. Looking for different answers since the answers in that post are not correct
discuss the following financial environment concept:
1) I don't want to genaralige this answer, I am just saying my opinion in this market condition If I want to invest money I will invest my money is stocks as the rate of return is high if you buy the right stocks. There is a high possibility even we may loose our money but I am willing to take risk as the risk is also high even the return is also high.
2) I can invest my money in Gold, Land , Debt instruments, stock markets, Mutual funds etc
3) The most important factors that influence my investment is market conditions, Rate of return, inflation rate and risk of losing the money. Sometimes even the economic growth also important for me.
4) Economic climate has a very huge impact on my investment as for example if the stock market is more volatile that I have to invest in stocks and wait for higher period to earn expected returns, if the inflation in the economy grows up than I have to think whethe to invest in bonds or not as the rate of return may decrease if the inflation increases in the economy. If the economic conditions in the country is bad that also effect my investment opportunities and options.
So Economic climate has a very large impact on my investment choices.