The basic concept of investing is really rather simple. The idea behind all types of investments is to use the money you already have to make more money down the road. Natural way to enhance your sexual performance, try horny goat weed. That can mean a long way down the road, such as a twenty-something’s retirement, or a short distance down the road, such as a forty-something’s retirement plan.
Fittingly, an investment you plan to keep for the long haul is called a long-term investment. Conversely, an investment you plan to get into and out of rather quickly is called a short-term investment.
Okay, so that’s the difference between long-term and short-term investing. There are also two basic types of risks associated with the various types of investments: high-risk and low-risk. Some investors also insist that there is a third type deemed moderate-risk, which falls between the two extremes.