{"id":101,"date":"2026-08-15T17:29:25","date_gmt":"2026-08-15T15:29:25","guid":{"rendered":"https:\/\/www.zambiashares.com\/learn-investing\/?p=101"},"modified":"2026-08-15T17:34:36","modified_gmt":"2026-08-15T15:34:36","slug":"lesson-3-why-do-people-invest","status":"publish","type":"post","link":"https:\/\/www.zambiashares.com\/learn-investing\/lesson-3-why-do-people-invest\/","title":{"rendered":"Lesson 3 \u2014 Why Do People Invest?"},"content":{"rendered":"<style>\r\n.zs3-lesson {\r\n    max-width: 1100px;\r\n    margin: 30px auto;\r\n    font-family: Arial, Helvetica, sans-serif;\r\n    color: #374151;\r\n}\r\n\r\n.zs3-card {\r\n    background: #ffffff;\r\n    border: 1px solid #DDE5E0;\r\n    border-radius: 18px;\r\n    box-shadow: 0 5px 20px rgba(0,0,0,0.07);\r\n    overflow: hidden;\r\n}\r\n\r\n.zs3-header {\r\n    background: #008C3A;\r\n    color: #ffffff;\r\n    padding: 30px 35px;\r\n    text-align: center;\r\n}\r\n\r\n.zs3-header h2 {\r\n    color: #ffffff;\r\n    margin: 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margin-bottom: 15px;\r\n}\r\n\r\n.zs3-complete h3 {\r\n    color: #008C3A;\r\n}\r\n\r\n.zs3-navigation {\r\n    display: flex;\r\n    justify-content: space-between;\r\n    align-items: center;\r\n    padding: 20px 35px;\r\n    border-top: 1px solid #DDE5E0;\r\n    background: #F4FAF6;\r\n}\r\n\r\n.zs3-btn {\r\n    border: none;\r\n    border-radius: 8px;\r\n    padding: 13px 24px;\r\n    font-size: 16px;\r\n    font-weight: bold;\r\n    cursor: pointer;\r\n}\r\n\r\n.zs3-prev {\r\n    background: #DDE5E0;\r\n    color: #17233C;\r\n}\r\n\r\n.zs3-next {\r\n    background: #008C3A;\r\n    color: #ffffff;\r\n}\r\n\r\n.zs3-next:hover {\r\n    background: #006B2D;\r\n}\r\n\r\n.zs3-counter {\r\n    color: #17233C;\r\n    font-weight: bold;\r\n    font-size: 15px;\r\n}\r\n\r\n@media (max-width: 700px) {\r\n\r\n    .zs3-lesson {\r\n        margin: 15px 8px;\r\n    }\r\n\r\n    .zs3-header {\r\n        padding: 23px 18px;\r\n    }\r\n\r\n    .zs3-header h2 {\r\n        font-size: 25px;\r\n    }\r\n\r\n    .zs3-slide {\r\n        padding: 30px 22px 25px;\r\n        min-height: 500px;\r\n    }\r\n\r\n    .zs3-slide h3 {\r\n        font-size: 23px;\r\n    }\r\n\r\n    .zs3-slide p,\r\n    .zs3-slide ul {\r\n        font-size: 16px;\r\n        line-height: 1.7;\r\n    }\r\n\r\n    .zs3-flow {\r\n        flex-direction: column;\r\n    }\r\n\r\n    .zs3-arrow {\r\n        transform: rotate(90deg);\r\n    }\r\n\r\n    .zs3-navigation {\r\n        padding: 16px;\r\n    }\r\n\r\n    .zs3-btn {\r\n        padding: 11px 17px;\r\n        font-size: 14px;\r\n    }\r\n}\r\n<\/style>\r\n\r\n<div class=\"zs3-lesson\">\r\n\r\n<div class=\"zs3-card\">\r\n\r\n<div class=\"zs3-header\">\r\n<h2>Lesson 3: Why Do People Invest?<\/h2>\r\n<p>Understand the reasons people put money into investments.<\/p>\r\n<\/div>\r\n\r\n<div class=\"zs3-progress\">\r\n<div class=\"zs3-progress-bar\" id=\"zs3Progress\"><\/div>\r\n<\/div>\r\n\r\n\r\n<!-- 01 -->\r\n\r\n<div class=\"zs3-slide active\">\r\n\r\n<span class=\"zs3-number\">01 \/ 15<\/span>\r\n\r\n<h3>Why Do People Invest?<\/h3>\r\n\r\n<div class=\"zs3-visual\">\r\n<div class=\"zs3-icon\">\ud83d\udcb0 \u2192 \ud83c\udfaf \u2192 \ud83d\udcc8<\/div>\r\n<strong>Money today can be used to work towards future goals.<\/strong>\r\n<\/div>\r\n\r\n<p>\r\nPeople invest for different reasons. Some want to build wealth over many\r\nyears. Others want to create potential income or prepare for an important\r\nfuture goal.\r\n<\/p>\r\n\r\n<p>\r\nThere is no single reason that is right for everybody. Your reason for\r\ninvesting should depend on your own financial situation and goals.\r\n<\/p>\r\n\r\n<p>\r\nBefore buying any investment, it is useful to ask:\r\n<strong>\"Why am I investing this money?\"<\/strong>\r\n<\/p>\r\n\r\n<div class=\"zs3-highlight\">\r\nA clear reason can help you make better investment decisions and avoid\r\ninvesting simply because other people are doing it.\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 02 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">02 \/ 15<\/span>\r\n\r\n<h3>Investing for the Future<\/h3>\r\n\r\n<div class=\"zs3-visual\">\r\n<div class=\"zs3-icon\">\ud83d\udcc5 \u2192 \ud83c\udfaf<\/div>\r\n<strong>Today's decision can be connected to tomorrow's goal.<\/strong>\r\n<\/div>\r\n\r\n<p>\r\nOne of the biggest reasons people invest is to prepare for the future.\r\n<\/p>\r\n\r\n<p>\r\nYou may have a goal that is several years away, such as building wealth,\r\nstarting a business, preparing for retirement or creating financial\r\nsecurity for your family.\r\n<\/p>\r\n\r\n<p>\r\nSaving can help with short-term needs, while investing may be considered\r\nfor money that can remain invested for a longer period.\r\n<\/p>\r\n\r\n<div class=\"zs3-tip\">\r\nThink about the future you want, then consider how your money can support\r\nthat goal.\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 03 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">03 \/ 15<\/span>\r\n\r\n<h3>Investing to Build Wealth<\/h3>\r\n\r\n<div class=\"zs3-visual\">\r\n\r\n<div class=\"zs3-flow\">\r\n\r\n<div class=\"zs3-box\">Money<\/div>\r\n<div class=\"zs3-arrow\">\u2192<\/div>\r\n<div class=\"zs3-box\">Investment<\/div>\r\n<div class=\"zs3-arrow\">\u2192<\/div>\r\n<div class=\"zs3-box\">Potential Growth<\/div>\r\n\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n<p>\r\nAnother reason people invest is to try to build wealth over time.\r\n<\/p>\r\n\r\n<p>\r\nInstead of keeping all their long-term money in cash, some people choose\r\nto invest part of it in assets that have the potential to increase in\r\nvalue.\r\n<\/p>\r\n\r\n<p>\r\nShares are one example. If the value of shares increases, an investor's\r\ninvestment may become more valuable.\r\n<\/p>\r\n\r\n<div class=\"zs3-highlight\">\r\nPotential growth is not guaranteed. An investment can also lose value.\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 04 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">04 \/ 15<\/span>\r\n\r\n<h3>Investing for Potential Income<\/h3>\r\n\r\n<div class=\"zs3-visual\">\r\n<div class=\"zs3-icon\">\ud83c\udfe2 \u2192 \ud83d\udcb0<\/div>\r\n<strong>Some investments may provide income.<\/strong>\r\n<\/div>\r\n\r\n<p>\r\nSome people invest because they want an investment to potentially provide\r\nincome.\r\n<\/p>\r\n\r\n<p>\r\nFor example, some companies pay dividends to shareholders. A dividend is\r\na payment a company may make to shareholders, subject to the company's\r\nfinancial position, decisions and applicable rules.\r\n<\/p>\r\n\r\n<p>\r\nHowever, dividends are not guaranteed. A company can decide not to pay\r\na dividend, depending on its circumstances.\r\n<\/p>\r\n\r\n<div class=\"zs3-tip\">\r\nDo not buy a share only because it paid a dividend in the past. Always\r\nunderstand the company and its current situation.\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 05 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">05 \/ 15<\/span>\r\n\r\n<h3>Preparing for Retirement<\/h3>\r\n\r\n<div class=\"zs3-visual\">\r\n<div class=\"zs3-icon\">\ud83d\udc68\u200d\ud83d\udcbc \u2192 \ud83d\udcc5 \u2192 \ud83d\udc74<\/div>\r\n<strong>Long-term investing can be part of retirement planning.<\/strong>\r\n<\/div>\r\n\r\n<p>\r\nFor many people, retirement is one of the biggest long-term financial\r\ngoals.\r\n<\/p>\r\n\r\n<p>\r\nWhen someone is working, they may have regular income. After retirement,\r\nthat income may reduce or change.\r\n<\/p>\r\n\r\n<p>\r\nLong-term saving and investing can be part of a wider retirement plan.\r\nThe earlier someone starts learning about money and investing, the more\r\ntime they may have to plan.\r\n<\/p>\r\n\r\n<div class=\"zs3-highlight\">\r\nInvesting should be considered as one part of retirement planning, not\r\nas a guaranteed retirement solution.\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 06 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">06 \/ 15<\/span>\r\n\r\n<h3>Preparing for a Child's Future<\/h3>\r\n\r\n<div class=\"zs3-visual\">\r\n<div class=\"zs3-icon\">\ud83d\udc68\u200d\ud83d\udc69\u200d\ud83d\udc67 \u2192 \ud83c\udf93<\/div>\r\n<strong>Long-term goals may include education and family needs.<\/strong>\r\n<\/div>\r\n\r\n<p>\r\nParents and guardians may have long-term financial goals for their\r\nchildren.\r\n<\/p>\r\n\r\n<p>\r\nFor example, they may want to prepare for future education costs or\r\nother important expenses.\r\n<\/p>\r\n\r\n<p>\r\nA person could combine regular savings with suitable long-term investments\r\ndepending on the time available and their ability to accept investment risk.\r\n<\/p>\r\n\r\n<div class=\"zs3-tip\">\r\nA long-term goal gives you a reason to plan rather than simply investing\r\nwithout a purpose.\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 07 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">07 \/ 15<\/span>\r\n\r\n<h3>Investing in Businesses<\/h3>\r\n\r\n<div class=\"zs3-visual\">\r\n\r\n<div class=\"zs3-flow\">\r\n\r\n<div class=\"zs3-box\">\ud83d\udc64 Investor<\/div>\r\n<div class=\"zs3-arrow\">\u2192<\/div>\r\n<div class=\"zs3-box\">\ud83c\udfe2 Business<\/div>\r\n<div class=\"zs3-arrow\">\u2192<\/div>\r\n<div class=\"zs3-box\">\ud83c\udf31 Growth<\/div>\r\n\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n<p>\r\nWhen you buy shares in a listed company, you become a shareholder in\r\nthat business.\r\n<\/p>\r\n\r\n<p>\r\nThis means you can participate in the ownership of a company without\r\nhaving to start and operate the entire business yourself.\r\n<\/p>\r\n\r\n<p>\r\nIf the company grows successfully, shareholders may benefit through\r\nshare-price appreciation and, where declared, dividends.\r\n<\/p>\r\n\r\n<div class=\"zs3-highlight\">\r\nOwning shares means accepting both the opportunity and the risks of\r\nowning part of a business.\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 08 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">08 \/ 15<\/span>\r\n\r\n<h3>Keeping Up With the Rising Cost of Living<\/h3>\r\n\r\n<div class=\"zs3-visual\">\r\n<div class=\"zs3-icon\">\ud83d\uded2 \u2191 \ud83d\udcb0<\/div>\r\n<strong>Prices can change over time.<\/strong>\r\n<\/div>\r\n\r\n<p>\r\nAnother reason people think about investing is the effect of inflation.\r\n<\/p>\r\n\r\n<p>\r\nInflation means that the general price of goods and services increases\r\nover time. As prices rise, the purchasing power of the same amount of\r\nmoney can decrease.\r\n<\/p>\r\n\r\n<p>\r\nSome investors therefore look for investments that have the potential\r\nto grow over the long term.\r\n<\/p>\r\n\r\n<div class=\"zs3-highlight\">\r\nInvesting does not guarantee that your money will beat inflation.\r\nReturns can be negative.\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 09 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">09 \/ 15<\/span>\r\n\r\n<h3>Putting Idle Money to Work<\/h3>\r\n\r\n<div class=\"zs3-visual\">\r\n<div class=\"zs3-icon\">\ud83d\udcb0 \u2192 \u2699\ufe0f<\/div>\r\n<strong>Some money may be available for long-term use.<\/strong>\r\n<\/div>\r\n\r\n<p>\r\nImagine you have money that you do not expect to need for several years.\r\nSome people may consider investing part of that money rather than\r\nleaving all of it unused.\r\n<\/p>\r\n\r\n<p>\r\nThe idea is not to chase quick profits. The idea is to give suitable\r\nlong-term money the possibility of generating a return.\r\n<\/p>\r\n\r\n<p>\r\nBefore investing, you still need to consider risk, fees, taxes, time\r\nhorizon and the type of investment.\r\n<\/p>\r\n\r\n<div class=\"zs3-tip\">\r\nOnly consider investing money that you can afford to leave invested\r\nand whose risks you understand.\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 10 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">10 \/ 15<\/span>\r\n\r\n<h3>Compound Growth Over Time<\/h3>\r\n\r\n<div class=\"zs3-visual\">\r\n\r\n<div class=\"zs3-flow\">\r\n\r\n<div class=\"zs3-box\">Initial Money<\/div>\r\n<div class=\"zs3-arrow\">\u2192<\/div>\r\n<div class=\"zs3-box\">Returns<\/div>\r\n<div class=\"zs3-arrow\">\u2192<\/div>\r\n<div class=\"zs3-box\">More Money<\/div>\r\n<div class=\"zs3-arrow\">\u2192<\/div>\r\n<div class=\"zs3-box\">Potential Future Growth<\/div>\r\n\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n<p>\r\nCompounding is the idea that returns earned on an investment can themselves\r\ncontribute to future growth when they remain invested.\r\n<\/p>\r\n\r\n<p>\r\nFor example, if an investment generates a return and that return remains\r\ninvested, future returns may be calculated on a larger amount.\r\n<\/p>\r\n\r\n<p>\r\nCompounding takes time. It is not a promise that an investment will\r\nalways grow.\r\n<\/p>\r\n\r\n<div class=\"zs3-highlight\">\r\nTime can make compounding more meaningful, which is one reason some\r\npeople start planning for long-term investing early.\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 11 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">11 \/ 15<\/span>\r\n\r\n<h3>Investing Is Not About Getting Rich Quickly<\/h3>\r\n\r\n<div class=\"zs3-visual\">\r\n<div class=\"zs3-icon\">\ud83d\udeab \ud83d\udcb0\u26a1<\/div>\r\n<strong>There is no guaranteed shortcut to wealth.<\/strong>\r\n<\/div>\r\n\r\n<p>\r\nA common mistake among beginners is thinking that investing means finding\r\na share that will make them rich in a few weeks.\r\n<\/p>\r\n\r\n<p>\r\nReal investing is usually about understanding businesses, managing risk,\r\nsetting goals and giving suitable investments enough time.\r\n<\/p>\r\n\r\n<p>\r\nAnyone promising guaranteed high returns with little or no risk should\r\nbe treated with caution.\r\n<\/p>\r\n\r\n<div class=\"zs3-highlight\">\r\n<strong>Investing is a journey, not a get-rich-quick scheme.<\/strong>\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 12 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">12 \/ 15<\/span>\r\n\r\n<h3>Investing Can Support Financial Independence<\/h3>\r\n\r\n<div class=\"zs3-visual\">\r\n<div class=\"zs3-icon\">\ud83c\udfaf \u2192 \ud83d\udcb0 \u2192 \ud83e\udded<\/div>\r\n<strong>Build your financial future step by step.<\/strong>\r\n<\/div>\r\n\r\n<p>\r\nFinancial independence means having greater control over your financial\r\nlife and being less dependent on a single source of income.\r\n<\/p>\r\n\r\n<p>\r\nLong-term investing may form part of a wider financial plan alongside\r\nemployment income, business income, savings and other assets.\r\n<\/p>\r\n\r\n<p>\r\nThe aim should not be to stop working tomorrow. The aim is to build\r\nfinancial strength gradually.\r\n<\/p>\r\n\r\n<div class=\"zs3-tip\">\r\nFinancial independence usually takes time, discipline and good financial\r\nhabits.\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 13 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">13 \/ 15<\/span>\r\n\r\n<h3>A Simple Zambian Example<\/h3>\r\n\r\n<div class=\"zs3-example\">\r\n\r\n<h4>Imagine Chanda Has a Long-Term Goal<\/h4>\r\n\r\n<p>\r\nChanda earns an income and wants to prepare for a financial goal that\r\nis several years away.\r\n<\/p>\r\n\r\n<p>\r\nInstead of spending all the money left after regular expenses, Chanda\r\ndecides to build emergency savings first.\r\n<\/p>\r\n\r\n<p>\r\nAfter considering the long-term goal, time horizon and risk, Chanda may\r\ndecide that part of the money can be invested.\r\n<\/p>\r\n\r\n<p>\r\nChanda does not expect to become rich quickly. The aim is to build\r\nfinancial resources gradually.\r\n<\/p>\r\n\r\n<\/div>\r\n\r\n<div class=\"zs3-highlight\">\r\nThe important part is not how much Chanda invests. The important part\r\nis having a goal and making decisions based on understanding.\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 14 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">14 \/ 15<\/span>\r\n\r\n<h3>Ask Yourself: Why Am I Investing?<\/h3>\r\n\r\n<p>\r\nBefore making an investment, ask yourself these questions:\r\n<\/p>\r\n\r\n<ul>\r\n<li>What is my financial goal?<\/li>\r\n<li>How long can I leave this money invested?<\/li>\r\n<li>Can I afford to lose some of this money?<\/li>\r\n<li>Do I understand the investment?<\/li>\r\n<li>Am I investing because of research or because someone told me to?<\/li>\r\n<li>Does this investment fit my financial plan?<\/li>\r\n<\/ul>\r\n\r\n<div class=\"zs3-tip\">\r\nA good investment decision starts with a good question:\r\n<strong>\"Why am I investing?\"<\/strong>\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<!-- 15 -->\r\n\r\n<div class=\"zs3-slide\">\r\n\r\n<span class=\"zs3-number\">15 \/ 15<\/span>\r\n\r\n<div class=\"zs3-complete\">\r\n\r\n<div class=\"zs3-complete-icon\">\ud83c\udf93<\/div>\r\n\r\n<h3>Lesson Complete!<\/h3>\r\n\r\n<p>\r\nYou now understand some of the main reasons people invest.\r\n<\/p>\r\n\r\n<p>\r\nPeople may invest to work towards long-term goals, build wealth,\r\npotentially receive income, prepare for retirement, participate in\r\nbusiness ownership, or build greater financial independence.\r\n<\/p>\r\n\r\n<div class=\"zs3-highlight\">\r\n<strong>Key message:<\/strong><br>\r\nDo not invest simply because other people are investing.\r\nKnow your goal, understand the investment and understand the risk.\r\n<\/div>\r\n\r\n<p>\r\nThe best reason to invest is one that fits your own financial plan.\r\n<\/p>\r\n\r\n<\/div>\r\n\r\n<\/div>\r\n\r\n\r\n<div class=\"zs3-navigation\">\r\n\r\n<button type=\"button\" class=\"zs3-btn zs3-prev\" id=\"zs3Prev\">\r\n\u2190 Previous\r\n<\/button>\r\n\r\n<div class=\"zs3-counter\" id=\"zs3Counter\">\r\n1 \/ 15\r\n<\/div>\r\n\r\n<button type=\"button\" class=\"zs3-btn zs3-next\" id=\"zs3Next\">\r\nNext \u2192\r\n<\/button>\r\n\r\n<\/div>\r\n\r\n<\/div>\r\n<\/div>\r\n\r\n\r\n<script>\r\n(function() {\r\n\r\n    const lesson = document.querySelector('.zs3-lesson');\r\n\r\n    if (!lesson) return;\r\n\r\n    const slides = lesson.querySelectorAll('.zs3-slide');\r\n    const nextButton = lesson.querySelector('#zs3Next');\r\n    const prevButton = lesson.querySelector('#zs3Prev');\r\n    const counter = lesson.querySelector('#zs3Counter');\r\n    const progress = lesson.querySelector('#zs3Progress');\r\n\r\n    let current = 0;\r\n\r\n    function showSlide(number) {\r\n\r\n        slides.forEach(function(slide, index) {\r\n\r\n            slide.classList.toggle(\r\n                'active',\r\n                index === number\r\n            );\r\n\r\n        });\r\n\r\n        counter.textContent =\r\n            (number + 1) + ' \/ ' + slides.length;\r\n\r\n        progress.style.width =\r\n            (((number + 1) \/ slides.length) * 100) + '%';\r\n\r\n        prevButton.style.visibility =\r\n            number === 0 ? 'hidden' : 'visible';\r\n\r\n        if (number === slides.length - 1) {\r\n\r\n            nextButton.style.display = 'none';\r\n\r\n        } else {\r\n\r\n            nextButton.style.display = 'block';\r\n\r\n        }\r\n\r\n        lesson.scrollIntoView({\r\n            behavior: 'smooth',\r\n            block: 'start'\r\n        });\r\n    }\r\n\r\n    nextButton.addEventListener('click', function() {\r\n\r\n        if (current < slides.length - 1) {\r\n\r\n            current++;\r\n            showSlide(current);\r\n\r\n        }\r\n\r\n    });\r\n\r\n    prevButton.addEventListener('click', function() {\r\n\r\n        if (current > 0) {\r\n\r\n            current--;\r\n            showSlide(current);\r\n\r\n        }\r\n\r\n    });\r\n\r\n    showSlide(current);\r\n\r\n})();\r\n<\/script>\n<p style=\"text-align: justify;\">Why do people invest their money instead of simply keeping it in cash or a savings account?<\/p>\n<p style=\"text-align: justify;\">There is no single answer. Different people invest for different reasons, and your reason for investing should depend on your own financial goals, income, responsibilities and future plans.<\/p>\n<p style=\"text-align: justify;\">Some people invest because they want to build wealth over many years. Others invest because they want their money to potentially generate income, such as dividends from shares. Some people are preparing for retirement, planning for their children&#8217;s future, or working towards another long-term financial goal.<\/p>\n<p style=\"text-align: justify;\"><strong>For example,<\/strong> imagine a Zambian worker who has regular income and wants to prepare for a goal that is several years away. After taking care of important expenses and building suitable savings, the person may decide to invest part of the money for the long term. The purpose is not to become rich quickly. The purpose is to give suitable money an opportunity to potentially grow over time.<\/p>\n<p style=\"text-align: justify;\">Investing can also allow ordinary people to participate in businesses. When you buy shares in a listed company, you become a shareholder and own a small part of that business.<\/p>\n<p style=\"text-align: justify;\">However, every investment involves risk. A share price can rise, but it can also fall. Dividends are not guaranteed, and past performance does not guarantee future results.<\/p>\n<p style=\"text-align: justify;\">In this lesson, you will learn the most common reasons people invest and how to connect investing with your own financial goals.<\/p>\n<p style=\"text-align: justify;\">The most important question is simple:<\/p>\n<blockquote>\n<p style=\"text-align: justify;\"><strong>&#8220;Why am I investing?&#8221;<\/strong><\/p>\n<\/blockquote>\n<p style=\"text-align: justify;\">Knowing the answer can help you become a more disciplined and informed investor.<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Why do people invest their money instead of simply keeping it in cash or a savings account? There is no [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"elementor_theme","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"default","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"set","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[8],"tags":[],"class_list":["post-101","post","type-post","status-publish","format-standard","hentry","category-money-investing-basics"],"rttpg_featured_image_url":null,"rttpg_author":{"display_name":"ZambiaShares.com","author_link":"https:\/\/www.zambiashares.com\/learn-investing\/author\/invstzmadmin\/"},"rttpg_comment":0,"rttpg_category":"<a href=\"https:\/\/www.zambiashares.com\/learn-investing\/category\/stock-market-learning\/money-investing-basics\/\" rel=\"category tag\">Money &amp; Investing Basics<\/a>","rttpg_excerpt":"Why do people invest their money instead of simply keeping it in cash or a savings account? There is no [&hellip;]","_links":{"self":[{"href":"https:\/\/www.zambiashares.com\/learn-investing\/wp-json\/wp\/v2\/posts\/101","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.zambiashares.com\/learn-investing\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.zambiashares.com\/learn-investing\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.zambiashares.com\/learn-investing\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.zambiashares.com\/learn-investing\/wp-json\/wp\/v2\/comments?post=101"}],"version-history":[{"count":0,"href":"https:\/\/www.zambiashares.com\/learn-investing\/wp-json\/wp\/v2\/posts\/101\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.zambiashares.com\/learn-investing\/wp-json\/wp\/v2\/media?parent=101"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.zambiashares.com\/learn-investing\/wp-json\/wp\/v2\/categories?post=101"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.zambiashares.com\/learn-investing\/wp-json\/wp\/v2\/tags?post=101"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}