The main characteristics or characteristics of investments are as follows:
1. Risk factor
Every investment involves a certain proportion of risk. This is an important investment characteristic relating to loss of capital, delays in paying interest and principal, etc. Most investors prefer to invest in less risky stocks.
2. Expectation of return
The expected return is the most important investment objective. Investors expect high and constant returns on their capital.
Investors expect security for their capital. You want security of return and protection of your investment or your capital amount.
Liquidity means simply selling or converting the capital or investment into cash without loss. Therefore, most investors prefer liquid investments.
Another characteristic of investments is that they are marketable. It means buying and selling or transferability of securities in the market.
6. Income stability
Investors invest their capital with high earnings expectations. Therefore, the return on your investment should be reasonable and stable.