Short-term investment options include savings and checking accounts. They usually have low risk, but they also provide lower returns. They are more liquid investments, meaning that they can be sold or changed easily. Long-term investments can provide higher returns; however, they are often more risky, and they can have lower liquidity.
When you are likely to need cash soon, a short-term investment would be wise. When you have the time and resources to try for a higher return, a long-term investment would be a good choice.
Short-term investments are done for getting immediate profits while long-term investments are done for growth purposes by the organization or by an individual person.
The difference between short term and long term investment options are:
The short-term investment would be appropriate for individuals who want to invest their money to get profits out of it.
The long-term investment would best suit large organizations that want to grow their business in the market.
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