Transcript: WellsTrade Saving vs Investing
And of course the answer to that question is: you need to do both.
You need to save when you’re primarily concerned with securing assets for short-term goals.
Think of going on a vacation or establishing an emergency fund.
Of course, it can be tempting to depend too much on savings it might seem simpler and less risky.
But it’s also not the best strategy for growing your money over time.
Which is why you need to invest when you’re concerned with increasing assets for the long term.
Like children’s college education or retirement long term.
But only investing isn’t the answer either. Because as the market goes, so does your money. And it can also be difficult to get to should you need it quickly.
So, save when it makes sense. Invest when it makes sense.And you’ll keep your financial picture in proper balance.