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Friends, if we talk about the old generation and the present generation, then the thinking of both these generations towards investment is very different to a great extent. I am saying this because I have done this thing from my own experience and I am telling you this on the basis of the behavior of that thing. I see that people who are one generation before us, that is, people of our parents' generation, they go for a safer investment, if they have to invest money, then they do it in bank fixed deposit so that their money gets a fixed return guarantee. Aditya, I have seen such people who invest their money in fixed deposit, the biggest reason for this is that one thing is fixed by the bank that you will get this much fixed interest in this FD, no matter how much recession comes in the market or how much the market goes down, but you will get a fixed amount. If we talk about India, the government has also insured up to ₹500000 in fixed deposits, so if for any reason the bank is declared bankrupt and is unable to pay your money, then the controller of all the banks here, which we call the Reserve Bank, can pay you an amount of up to 5 lakhs. Deposits are made due to this insurance of the government. The biggest advantage of fixed deposit is that after investing money in it, the person becomes absolutely sure and then he does not care how the market is going. This was a big reason due to which people of that generation give priority to fixed deposit. Now many people will think here that if you want to make big returns, then for that you will have to invest in the market yourself, so what would the people of that generation do in such a situation. So in this I would like to answer that these people also invest in gold and real estate.
Image by Mohamed Hassan from Pixabay
If you feel that the returns on fixed deposits are not much, then many people used to invest in gold and many people still do so because gold is such a thing whose value increases every year and many people also make gold jewellery so that people look beautiful after wearing it and here an investment is also made which will remain with you completely. If we look at an average, then in the last 20 years gold has given an average return of 11% every year which is much more than the fixed deposit made in the bank. Gold is considered the second best option because the investment you make in a fixed deposit is also around the same and in this you can keep your gold with you whereas in fixed deposit you have to keep the money in the bank. But the biggest thing with gold is that you have to keep it in a safe manner because many times incidents of theft also occur.
After gold, the third thing people invest in is property. Property is such a thing that if you maintain it properly, it can give you 50% more returns in a few years and if you rent the property only, then it gives you monthly returns. But there are two most important things with property, one is that you have to invest a large amount in it and the second thing is that you have to maintain the property properly because people buy property after looking at its condition. If a house is well maintained, then the tenants will pay you good money and if someone buys it, he will pay a very good price.
Image by Mohamed Hassan from Pixabay
This was about our parents' generation. Now let's talk about today's generation because my main point was that why is there such a difference in investment between that generation and today's generation. Talking about today's generation, whatever money they earn, they invest it directly in the market because if we talk about the last few years, finfluencers have spread a lot of knowledge about the market to a great extent and the youth wants to invest directly on the market because they are seeing that in the last few years the market is giving very high returns. Talking about the new generation, they do not understand the market much because there are very few people who know the depth of the market well and they are the ones who can make good returns by investing. I do not say that investing in the market is wrong but you should invest only when you have the right information about it because it can be very risky too. The risk increases for those who do trading because in trading there are maximum chances of making money as well as losing money. Today's generation does not invest in fixed deposits or gold etc. When they get their first salary, they directly start investing that money there. Although saving money is a good thing, but if there is an option where you get a safe investment, then there is no harm in it because investing in the market will be right only when you have complete knowledge of it.
This is the reason why there is such a difference in the thinking of both the generations regarding investment. Another thing is that the new generation lacks patience because the new generation wants something in which they can make high returns in a short time but this does not happen. If you have good knowledge and your luck is also with you then it is possible that you will be able to make good returns there but this does not always happen.
Thanks for Reading till the end
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