Best investment methods

• Treasury Bills: It is a type of financial instrument issued by the central bank that represents the government of the country. The bank announces its prices periodically, and treasury bills are issued to their owner only, but it is not mentioned Its buyer's name, so it can be transferred. From its current owner to another person, and no interest is paid on it, but it provides financial returns that constitute the apparent difference between its purchase price and its nominal price. These bills are considered free of any risk because they have government support, and treasury bills are traded in an active market that contributes to increasing their liquidity.^[٢]
• Negotiable Certificates of Deposit It is known by the abbreviation (CD's); it is Money deposited in a commercial bank for a specific period of time in exchange for Receipts are issued for this purpose, and specific time periods are set for the maturity of certificates of deposit according to the needs of investors. When the maturity date arrives, the value of the deposited amount is paid in addition to the interest due on it.^[٢]
• Inter-Corporate Deposits: It is a type of short-term deposits, applied between companies with the aim of obtaining good returns. These deposits are divided into three types:^[٢]
  • Call Deposits: These are financial deposits that the lender can withdraw when a notification appears. When this process is applied, you must wait for a period of three days. to get money.
  • Three Months Deposits: These are financial deposits used by borrowers to meet short-term cash shortages. The interest rate on these deposits is affected by the interest rate issued by banks.
  • Six-month Deposits: These are financial deposits that extend for a maximum period of 6 months, and are preferred by individuals who do not have surplus funds over a long period.
• Marketable Securities: It is a group of Stocks Or debt instruments such as bonds, all of which are listed on the stock exchange and can be easily bought or sold; therefore, these papers constitute the cash assets that are tradable, and are recorded at their purchase cost, plus taxes and bank commissions.^[٣] Negotiable securities help companies maintain their cash balance, which is essential because of the inability to achieve an ideal balance between external and internal cash flows. These securities also contribute to providing income for the business. When investing money in these securities, it is necessary to be careful and cautious; as it is important to choose them carefully, which contributes to increasing their value quickly when requested.^[٢]
• Money Market Mutual Funds: Abbreviated as (MMMF), they are investment funds that invest in Tools Financial instruments within the financial market, and these instruments include government-issued securities with a maturity period of up to one year, treasury bills, commercial papers, certificates of deposit, and other acceptable financial instruments.^[٢]

The importance of investment

Investment is distinguished by its influential importance in the world of finance and business, and this importance is summarized according to the following points:^[٤]

• Investment contributes to determining future goals by relying on its own strategic dimensions, using appropriate statistics and data, and knowing the risks involved in the investment.
• Investment decisions depend on financial resources; long-term investment requires fixed assets; by relying on a set of resources, such as the facility’s self-financing, or relying on external financing in order to obtain resources.
• Affects Investing in the future The facility, such as investments used to develop production capacity, because they change the structure of the facility.

Investment motivations

There are a set of economic motives for investment, which developed in conjunction with the developments that affected the global economy, and witnessed a remarkable diversity with the diversity of investment parties and objectives. It is possible to classify the economic motives for investment according to the following:^[٥]

• Motivations for investing in the traditional economy: It is concerned with the private interests of investors, and the economic thinker Keynes believes that it is divided into two values, which are:
  • The first value: effectiveness Capital Marginal: the expected output when the investment is implemented.
  • The second value: the interest rate; that is, the cost of loans that help implement the investment.
• Motives for government investment: These are motives linked to social and economic development plans in countries; and they aim to establish policies that contribute to improving the standard of living of citizens; by providing all their basic needs; which leads to providing the needs of society.
• Private investment motivations: These are motives that emerged as a result of the development of private investment opportunities in all business fields, especially with the interest in privatizing projects and enhancing opportunities for private sector investments. These motives can be identified according to the following:
  • return on investment appropriate and resulting from total profits.
  • Contribute to the establishment of new projects.
  • Providing opportunities to recover ownership rights and capital when projects are sold.

the reviewer

1. ↑ Dr. Hatem Al-Taan (2006), Investment goals and motivesIraq: University of Baghdad, pp. 5, 7, 8. Adapted.
2. ^ ^{A for T Th G} Sanjay Kumar, “Top 9 Methods of Investment of Surplus Funds | Working Capital”، Your Article Library, Retrieved 23-6-2017. Edited.
3. ↑ “Marketable Security”, Business Dictionary, Retrieved 23-6-2017. Edited.
4. ↑ Abdul Qader Baba (2003-2004), Investment policy in Algeria and development challenges in light of current global developmentsAlgeria: University of Algiers, pp. 51, 52. Adapted.
5. ↑ Louay Nasr (2008), The role of the Investment Promotion Agency in encouraging local and foreign investment in Palestine (study)Gaza - Palestine: The Islamic University, pp. 16, 17, 18, 19. Adapted.