Reporting / 13.02.2021

Long-term investments: nature and types. Long-term capital investment for the purpose of generating income Long-term capital investment for the purpose of

This type of investment involves waiting from three or more years... This option of capital investment is characterized by low, but constant profit. The sale of investment assets at the end of the project can be considered as additional income, if their value has increased during this time.

You can use a variety of assets. produced in securities, commodity and raw material assets, capital construction, transport, equipment, land, raw materials, innovation, business, etc.

Long-term investment options

Securities.

You can buy stocks or bonds yourself, or you can entrust it to a special financial institutions... These include shares investment funds or an investment management company. In any case, all risks are borne by the investor.

As a rule, with long-term capital investments, investment portfolio consisting of different types of securities. It may include stocks of companies, government bonds or large stable enterprises. For diversification, they are mixed in any proportion. Portfolio filling is selected for solving certain investment problems for a given period of time.

Investing in stocks is profitable if you choose the right asset. To do this, it is necessary to carefully study not only the company's prospects, but also its current financial condition. Experts believe that the most good buy is the acquisition of shares of undervalued companies.

Financial market.

Investing in foreign currency is one of the most risky options for earning income. For long-term storage foreign currency it is not supposed to be permanently exchanged or sold on the FOREX exchange. Dollars or euros (there may be another currency, for example, the yuan) are simply kept until the expiration of the appointed period, after which they are sold. The difference between the amount spent on the purchase and the amount received from the sale is the investor's income.

The advantage of investing in foreign currency is the high liquidity of the latter. The demand for dollars or euros is always great.

Long-term investment in equipment.

This investment option provides for the purchase of transport or production equipment for its subsequent leasing or leasing sale. At the end of the lease term, all equipment can be sold, which partially compensates for the funds spent. True, unlike securities and currency, the cost of real equipment is guaranteed to decrease as it is used.

The risks of long-term investments in industrial and transport equipment lie in operating costs, which consist of costs for the following purposes:

service;
repair;
wear;
insurance.

In fact, such investments can be considered as investments. own business for renting or leasing equipment.

Strategic financial investments.

Such investments are made for the actual purchase of the selected company through the acquisition of a controlling stake.

In terms of purpose, this type differs from investing in securities, but in terms of execution it is a variant of it. Here, income is considered as profit from the operation of the enterprise, and not from changes in the value of shares or payments due upon redemption of bonds.

Construction and real estate.

Investments in residential and commercial real estate, with the right approach, can bring not only profit from resale, but also permanent passive income.

Investments are possible both in buildings under construction and in the secondary market.

New buildings are characterized by different prices at different stages of construction. The most profitable is the initial stage. As the building progresses, the profitability of the proposed sale of the property decreases proportionally.

Low-rise construction requires a much lower amount of the first installment, and is built faster. Therefore, this type of investment in real estate under construction is more profitable than investing in the construction of large buildings.

When buying a finished object, you can save on its poor condition and subsequent repairs. Detailed calculations are needed here in order not to incur losses.

In addition to acquiring square meters for resale, you can make money by renting out your home. This extends the payback period of the project, but brings constant passive income.

Direct crediting of production.

Many companies need money. Entering the leveraged market, in particular an IPO, is available to units and requires huge time, financial and physical costs. Bank loans provide high interest rates and is often not much easier than an initial public offering.

Small enterprises sometimes resort to attracting direct loans for production from private investors.

In this case, not only the financial, but also the legal side of the issue should be studied. To protect your investment, you need to carefully prepare for the conclusion of such an agreement.

Investment in jewelry and art.

This is a long-term capital investment option, similar to investing in foreign currencies.

An example is Leonardo da Vinci's painting "Savior of the World". Dmitry Rybolovlev purchased it in 2013 for $ 127.5 million and sold it in 2017 for $ 400 million. Four years is a typical long term investment period.

Such investments have slightly different risks, since these assets are physical items and cannot be stored in cashless form... Therefore, the issue of reliable storage of assets becomes important.

The cost of jewelry and art is usually high and this attracts a variety of intruders. Therefore, there is a very high risk of counterfeiting and fraudulent schemes.

Long-term investment in physical resources.

This refers to oil, gas, metals (including precious ones). These are investments that are made on the commodity exchange. The investor becomes the owner of the asset, but it is not delivered to the specified address, but is simply recorded as property on paper.

This option is characterized by the same risks as for securities - a decrease in demand, loss of value, external economic factors, and the like.

Investing in trading accounts.

Trading accounts look like an attractive way of long-term capital investment. The long term allows the manager to implement profit-making strategies as efficiently as possible and ensures high income for clients with minimal risks.

Reports and ratings are constantly published on our site. Anyone can familiarize themselves with them in order to have an idea of the level of profitability of this investment method. More detailed information is presented on the websites of the companies with which we cooperate.

Your monthly income can be 5-10% with a fairly low level of risk.

On the pages of our site, visitors can register with various financial companies that manage trading accounts.

Stages of long-term capital investment

Long-term investment of funds is a serious and responsible task. It requires careful preparation, a clear plan of action and a miscalculation of all possible risks. The algorithm of actions for an investor can be presented as follows:

Viewing and selection of options for long-term investment. Goals and objectives are set first. Possible stages of their achievement are considered. Time binding is in progress. Possible investment directions are selected for the selected parameters. A list of options is compiled.
Collection of information. At this stage, information is collected and studied in detail. At large amounts investing can hardly be done with open sources of information. It is necessary to involve professional lawyers and economists to correctly assess the prospects of the project and all the associated risks.

With long-term investments, he risks all his capital. He alone is responsible for making all decisions. Investment activity that brings only profit is impossible. There will be guaranteed losses as well. And you need to be ready for this. The skill of an investor lies in the ability to invest money in such a way as to compensate for possible losses.

Disadvantages of long-term capital investment

This investment option, of course, has drawbacks. These include:

the likelihood of loss of funds due to ineffective asset management;
the inability to return funds and make a profit throughout the investment period;
loss of asset liquidity at the time of project closure;
high inflation, which may exceed profitability;
business risks - the project may not be as successful as it seemed, various obstacles to its implementation may arise (for example, legal);
impossibility of quick termination of investment or high losses from termination;
economic risks, such as a decrease in demand for an asset or a significant decrease in its value.

Long-term investment advantages

Investing funds for a period of three years or longer is considered passive investment. An asset is purchased and sold once for the entire period. Optionally, you can buy or change the subject of investment, but this is not mandatory.

This strategy eliminates the emotional impact on income. There is no need to follow the market and make quick decisions. Over a long period of time, all peaks in the value change are smoothed out.

Another plus resulting from this is that you do not need to spend time actively participating in trading or asset management (this does not apply to the option of purchasing equipment). The investor can calmly go about his business and, at the end of the investment period, receive the invested and earned funds.

Depending on the type long-term investment it becomes possible to increase profitability by re-investing the income received. For example, when buying shares, income is not only a change in their value in the market, but also dividends paid annually to shareholders. If these funds are invested again in this or another project, they will also generate income.

It is difficult to imagine the development of the country's economy without investments, which are funds that are invested by financially wealthy individuals in projects that will bring profit in the future. Exists different kinds investment investments, however, the most interesting are not short-term, but long-term, involving investments for a period of 1 to 3 years. However, in order to attract such projects, a lot of efforts should be made in order, on the one hand, to interest potential investors in new projects, and on the other hand, to convince them of a stable economic situation in the country.

Long-term investments, as opposed to short-term ones, are less risky. They are less dependent on the unstable economic situation, various crises, political influence and other negative factors, since they are designed for financial returns in the longer term. Moreover, as a rule, it is these projects that bring the greatest profit, which, after capturing a part of the market, becomes constant. Any financial investment is associated with risk, so before investing, you should carefully study all the factors affecting success. These factors include:

Inflation rate;
Foreign exchange rates;
The level of development of the banking sector;
Perfection of the tax system;
Central Bank refinancing rate;
The degree of development of the investment infrastructure.

A correct analysis of the market situation should include a careful study of those areas of market activity where you can get maximum profit, and within 1-3 years. Knowing what belongs to long-term investments, and understanding the mechanism of their functioning, each person can use this financial instrument. Competent investment of funds allows you to receive not only additional, but also the main profit in the future. It is no less important, too, to be among the first to invest money in a particular project, since good profits are always obtained with little competition.

If we talk about funding sources, then they can be:

Own money;
Budget resources;
Loans (loans);
Money of third-party individuals or legal entities(large investors).

By investing in actively developing sectors of the economy, you can get high probability the fact that the cash will make a profit. These areas include electronics, robotics, computer technology, medicine, pharmaceuticals, communication and communication systems, etc.

Important! To work successfully with long-term investments, it is important to have
such character traits as: prudence, patience and endurance. On the market
there are often downturns and spikes in stock prices in which a person must
keep calm and cool, not rushing to sell them at a low price.

Types of long-term investments

In fact, there are dozens of types of long-term investments that enable a person to make good profits, as well as benefit the economy of a particular country. An example is a classification of 5 best views investments with a long payback period, but with minimal risks for a businessman:

. This is the most popular type of long-term investment, which allows you to increase the money of a depositor who initially has not very large capital. Securities include stocks and bonds that can be purchased on stock exchange independently or through an intermediary in the person of a broker. Example: a person invests money in securities that guarantee a fixed profit at the end of the document's validity period, which is negotiated in advance between the investor and the borrower.
. This is an example of a good investment, which is distinguished, first of all, by stability and reliability, since any property is least of all subject to fluctuations during periods of crisis. At all times, people needed housing and non-residential premises(offices, warehouses, bases, shopping centers). Examples of such investments are the acquisition or construction of buildings for the purpose of renting out premises for profit.
Technique and transport. By purchasing high-tech production, equipment, tools and machinery (machines), the investor gets a good tool for making a profit. By renting or leasing these "assets", the investor receives income. The only thing is that there is always a risk of wear and tear of equipment, so everything should be carefully weighed and calculated here. Investment examples: purchase of vehicles for the transport of passengers or goods.
. These projects are related to obtaining a controlling stake in a small company that has good prospects for future development. By investing in its activities and bringing the provided services to new level, the investor, in the end, achieves that the company goes to a qualitatively new level, confidently capturing new markets. This is a good example of a profitable investment.
Investment in production. People have always been and will be consumers of goods and services, therefore, betting on this, you can be sure of minimal risks. investment capital... An example of investment is investing in the modernization of factories and factories, when a businessman also benefits his country by creating new jobs.

Long-term capital investments with the aim of making a profit

Recently, one of the most promising objects in terms of investment is the creation of sites. Many people understand that the Internet can and should be used for active positioning of the offered goods and services, which allows customers to obtain profitable competitive advantages. The most popular types of investing in websites is their creation and promotion with the aim of subsequent monetization. You can also invest in websites for the purpose of selling them and making a profit.

In conclusion, we can conclude that long-term investments allow you to make a profit, but only if the money is invested in promising areas.

You can get more information on what a long-term investment is from this video.

What is investment?

Investment is an investment of capital for the purpose of making a profit.
More often than not, gaining passive profit. What everyone dreams of "Lying on the couch, rowing money."
But due to the lack financial literacy consider it impossible for themselves.
Is this really so?
Let's try to find out and understand the intricacies of investing.

If you think that in order to become an investor you need to have great opportunities and huge capital, then you are deeply mistaken. You can start small: two or three thousand rubles and significantly increase your income.
To do this, you need only a few things: start investing, continue to invest, include in your investment portfolio various financial instruments from different sectors of the economy and different countries as capital (and opportunities) grow. And then the time and the rule compound interest will do their job, multiplying your investment.
Even attachments small amounts can give fantastic results, but on condition that you do it regularly.
Let's say that absolutely anyone with any income level can earn a million rubles. The first question everyone asks

Where can I get the money?

1. Unplanned income: quarterly bonuses, bonuses, and so on.

2. Optional expenses. This includes various little things that can be discarded, as well as impulse purchases. According to statistics, optional expenses average 30% of the total amount spent during the month. It is easy to calculate how much money you can save by controlling your expenses.

3. Remaining salary. Having received their next salary, most people consider the remainder of the previous one as unnecessary money that needs to be spent. These funds can and should also be invested.

4. Credit optimization. For example, if a person has both a bank deposit and a loan at high interest rates, it is wiser to repay the loan and use the rest of the funds for investment.

5. Tax deductions - social or property. For example, when buying an apartment, you can return up to 13% of the amount spent, and invest the money received.

The last and most correct approach is to make investing a compulsory expense item. That is, to determine a certain amount that you are ready to invest in the business, and withdraw it from your salary every month, and spend the rest on current needs.

Risks

Risks need not be feared, risks need to be managed

In order not to lose money, risk can and should be managed. To begin with, calculate it and decide if such conditions are right for you. It is very simple to do this: find the segment of the maximum fall on the yield chart and compare it with the growth of the market.

Minimizing risks:

1. Invest money in securities of different companies.

2. Increase the term by decreasing the amount. That is, it is better to prefer several small transactions for a long period of time to one large deal concluded for a shorter period of time.

3. Hedge (insure) investments in securities.

Where are the deals made?

On an exchange that not only takes on the function of a trading platform - crowdinvesting platforms, but also ensures the safety of securities.

Where to go to start investing? To a brokerage house or management company. There is a significant difference between them: the broker gives the investor the opportunity to independently sell and buy shares on the exchange, Management Company makes financial decisions for the investor, acting in his interests.

Where to invest money?

Bank deposits

The most affordable, simple and probably the most common way to invest. Any average family can open a deposit in the bank. To do this, it is enough to have 1000 - 1500 rubles. An additional plus is the possibility of additional investment during the term of the deposit. Or, you can use the deposit ladder to get the maximum profit and at the same time retain the ability to withdraw part of the funds without losing interest.

To receive monthly income you need to find the maximum profitable deposits with monthly interest, which is automatically transferred to your second account. This money will be available to you at any time.

Usually, a similar method is used to accumulate a certain amount intended for investments in more expensive (in terms of a higher entry threshold) and more profitable financial instruments.

Yield on bank deposits is small and usually covers inflation, or slightly exceeds it - by 1-3%.

In terms of the security of your funds, this is the most reliable way to invest. Your money is insured by the state, so you can sleep peacefully.

Currency and foreign currency deposits

Regardless of the purpose for which you will buy currency, there is also an available type of investment for absolutely everyone.
The minimum amount is equivalent to 1 monetary unit of foreign currency, even within 100 rubles, you can already become an investor.
But if you do not want to keep the currency as a dead weight at home, but to receive additional profit, in addition to changing the exchange rate, then it is better to open a foreign currency deposit in a bank. Here, the minimum investment amount will already be a little more, about $ 50. Which is comparable to conventional bank deposits.

In the context of the difficult economic situation in the country, foreign currency deposits again began to gain popularity.
The ruble is rapidly losing its position in comparison with other financial payment systems. And in order to at least somehow preserve their savings, deposits in foreign currency are used.
And although the yield on such deposits is quite modest, in the region of 2-5% per annum, real earnings may exceed the current yield by several times. Due to the weakening of the ruble and, accordingly, the strengthening of the currency.

It is currency deposits that have been the most profitable over the past 5 years, among the main types of investments. Those who opened similar deposits several years ago have already earned more than 230% of profits... For comparison, simple ruble deposits for the same period showed a yield of 83%.

Precious metals

Let's not forget that precious metals are a physical thing, unlike money, which can simply be printed if necessary, always has its own intrinsic value. And over time it becomes more and more expensive. Loot sources are dwindling, making it harder (and more expensive) to mine. In addition, inflation directly affects the change in value towards growth. Since money loses weight with everyone, gold (silver and others), on the contrary, only grows in value.

Several options are possible here.

Purchase of ingots. The minimum available gold bar is 1 gram, the price of which is around $ 40-50. But this is not the best way to invest. In addition to the fact that the price of the bullion will be much higher than the world prices for gold, you will also need to pay 18% tax when selling.
Investment coins. The minimum cost is $ 20-30. The disadvantages are the same as when buying bullion.
Opening of unallocated metal accounts (OMS). The easiest and most affordable (financially) way to invest in precious metals.
The minimum entry cost is equivalent to the cost of 1 gram of metal. And if you can't afford buying gold, then you can turn your eyes to less expensive metals: palladium and silver. The cost of 1 gram of silver, for example, is less than $ 1

Securities and stock market

How can the profit from the purchase of shares be generated?

Due to the growth in the value of shares of the companies themselves, and due to the payment of part of the profit in the form of dividends. It is the most profitable and effective method investing money. Practice shows that the stock market always grows over long periods of time, at a rate much faster than inflation.

In order to properly invest in stocks, you need to have certain knowledge and experience. For beginners, if there is neither one nor the other, advice - buy dividend stocks so you are guaranteed to receive profit from your investments. And the cost is dividend shares will gradually increase, since they are especially attractive to investors, as a permanent generator of passive income.

Investments in bonds

Here we mean various, which attract investors' money, with periodic payment of interest. The profit can be from 2 to 15% monthly and even higher. Ideal for those who want to significantly increase their capital in a short time.

As you already understood, such a return entails a high probability of losing money. And if this does not stop you, choose those projects, the profitability of which does not exceed 8-10% per month. Usually such projects last a year and a half (although there are exceptions). And invest only at the initial stage of their life, when the likelihood of risks is minimal.

Theoretical Foundations of Investment Analysis

In the most general sense, an investment or capital investment means a temporary refusal of an economic entity from consuming the resources (capital) at its disposal and the use of these resources to increase its well-being in the future. Investing is a long-term investment of economic resources in order to create and receive benefits in the future. Investments in this case will be associated not only with the rejection of financial resources, but also labor, material and others in order to increase savings and profit. Investments, ensuring the dynamic development of enterprises, allow us to solve the following tasks:

- expansion of own entrepreneurial activity due to the accumulation of financial and material resources;

- acquisition of new businesses;

- diversification through the development of new areas of business.

The simplest example of an investment is spending money on the acquisition of property with significantly less liquidity - equipment, real estate, financial or other non-current assets.

The main features of investment activity that determine the approaches to its analysis are:

- irreversibility associated with the temporary loss of the consumer value of capital (for example, liquidity);

- expectation of an increase in the initial level of well-being;

- for the long term;

The investment process, with which investments are closely related, has all the characteristics of the system: there is always a subject (investor), an object (investment object), a connection between them (investing in order to obtain investment income) and the environment in which they exist (investment environment). At the same time, the connection acts as a system-forming factor, since it unites all the other elements into one whole. The systematic approach allows you to comprehensively describe the essence of the investment process and give effective definitions of the basic concepts.

Investment process is a process of attracting an investor to an investment object, specific to a certain investment environment, carried out with the aim of obtaining a controlled investment income through investment.

The investment environment is a single or multiple field of activity, mainly determining the specifics and subject matter of the investment process.

Investment - an investor's investment in an investment object, making him a participant in this object, while the subject content of the investment determines the nature of the investor's relationship with the investment object and possible ways impact on this object. Investments can be not only financial, but, for example, managerial or scientific.

Investment - the process of direct or indirect influence of the investor on the investment object, carried out with the aim of changing its properties.

An investor is a subject focused on changing the properties of an investment object, which allows, with minimal investment in this object, to make up for the deficit of resources necessary for its own development and change its own properties in the direction that is necessary for itself.

Investment object - an object that needs to attract investment to ensure its further existence or development and is ready to share investment income with the investor.

Investment object - an object, the properties of which allow the investor to receive investment income through participation in it.

Investment income - changed properties of the investment object, leading to a change in the properties of the investor.

As already mentioned, the investment process is a rejection of economic resources in order to increase them and meet the future needs of the investor (the subject of investment).

Obviously, the benefits received by the investor must be significant, since they must compensate him for:

- a delay in meeting his existing needs for a period necessary for implementation investment project and return of funds invested in it;

- the risk associated with the possibility of losing the investments made if the project is unsuccessful.

From the above, it becomes clear that the investment process requires strict planning of investments and income generation that can cover opportunity cost associated with the refusal to invest in other options, and the resulting risks.

In the investment planning process, the following items should be identified:

- the amount of funds that can be invested (it should be borne in mind that you can invest both your own and borrowed funds);

- requirements for the liquidity of the acquired assets. Liquid assets are required to make payments in the near future or unforeseen payments;

- the amount of taxes paid before and after the investment. Income from some types of investments are tax-exempt, so they may be more profitable than those that generate more income, but do not have tax benefits;

- investment objectives. The investor must clearly understand what kind of income he wants to receive from investments (regular small reliable payments or large profits in the future);

- attitude to risk. The investor must decide what suits him best: receive a significant income, but at the same time take a big risk and lose all his savings or receive a small income, but practically without any risk of losing his investment.

It is customary to distinguish between two types of investments: real and financial (portfolio). In the further presentation of the material, we will mainly talk about the first of them.

It should be noted that in the case of real investments, the condition for achieving the intended goals, as a rule, is the use (operation) of the corresponding non-current assets for the production of some products and their subsequent sale. This also includes, for example, the use of the organizational and technical structures of a newly formed business to make a profit, in the course of the statutory activities of an enterprise created with the attraction of investments. Features of the cost of acquiring tangible assets (land, structures, equipment):

- they are expensive;

- funds are invested for long periods of time, and investment decisions cannot (or very difficult) be changed;

- investment decisions tend to have a decisive influence on the firm's ability to achieve its financial goals;

- the decision to replace tangible assets determines the ways of further development of the company;

- investments in tangible assets require corresponding investments in working capital.

In addition, the following types of investments are distinguished:

a) by the volume of investments: large, traditional, small.

b) by the type of benefits for the company, which can be expressed:

- an increase in cash receipts;

- risk reduction;

- indirect benefits (for example, improving the social status of employees; reducing costs; entering new sales markets).

c) according to the degree of mutual dependence. This means that projects can be:

- completely independent (the decision to accept project A does not affect the decision to accept project B);

- complementary (the implementation of project A contributes to the growth of income for project B);

- mutually exclusive (if project A is carried out, project B cannot be carried out);

- interchangeable (implementation of project A reduces cash receipts from project B).

d) according to the degree of statistical relationship. This relationship characterizes the dependence of the efficiency of the functioning of one project on the efficiency of the functioning of another. She may be:

- positive;

- negative;

- be completely absent.

e) by type cash flows... Regular cash flow (ordinary) is a flow for which the sign for the period under consideration (that is, the period for which the project is designed) changes only once. An unusual flow (non-ordinary) is a flow in which the sign changes several times.

f) according to the social orientation of the project. For example: commercial, defense, social, etc.

g) by the degree and nature of state participation. Accordingly, the state can either directly participate in it (have a block of shares, finance, etc.), or provide benefits (tax).

h) according to the degree of risk: risky (projects related to the creation of new industries and technologies); no risky (reliable securities that bring stable income, government short-term bonds).

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Long term investment solution

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Long-term investment decisions, referred to as strategic ones, are aimed at ensuring the successful functioning of the company in the future and require specific professional knowledge, practical experience and skills in use from financial managers. modern methods analysis for the choice of optimal directions and ways of development of the company in the future, taking into account the objective laws of the development of a market economy.

Long-term investment decisions, called strategic ones, are aimed at ensuring the successful functioning of the company in the future and require financial managers to have deep basic knowledge, practical experience and skills in using modern methods of analysis to select the optimal directions and ways of the company's development in the future, taking into account objective patterns and specifics of development Russian economy.

Long-term investment decisions (strategic decisions) are aimed at ensuring the successful functioning of the enterprise in the future. Strategic decisions are focused on finding ways to accumulate and grow capital based on the redistribution of financial resources to the most promising areas of business and (or) to expand the scope of the enterprise. Efficiency financial management determined by strategic competitive advantages in financial market and, first of all, the amount of financial resources (capital) invested in the reproduction processes of the enterprise.

To make a long-term investment decision, evaluating only project benefits and costs is not enough - predictive financial (accounting) reporting is required, which implies expanding the information base for a comprehensive financial analysis the effectiveness of the project.

The solution by the central bank of these tasks allows firms to confidently make medium and long-term investment decisions, which, in turn, is a prerequisite for healthy economic growth.

All this means creating conditions for using the principles and methods of project analysis at all levels of making long-term investment decisions.

This book reflects the most important principles of project analysis, which can be understood and implemented today in practical activities for the preparation and adoption of long-term investment decisions on investing in real assets at all levels of management in the conditions of coexistence of the state and alternative sectors of the economy.

Our first task is to determine those sources of funds that will be taken into account when calculating the WACC Since the price of capital is directly used in the process of making long-term investment decisions, our attention will be primarily directed to formulating the principles for calculating this indicator in order to form an investment budget. Consider the sources of funds for the use of which the firm does not pay interest. This includes accounts payable for goods, works and services, wage arrears and tax arrears. All these types of debt are the result of current operations - the increase in the volume of sales is automatically accompanied by the formation of these sources.Therefore, in the process of forming and analyzing the investment budget, the amount of spontaneously arising debt associated with a given project is deducted from the total amount required to finance the project. that the cost of a certain project is $ 2 million Investments in fixed assets associated with its implementation - $ 15 million. However, if the project is accepted, its implementation will lead to an automatic (spontaneous) increase in short-term accounts payable for 200,000 dollars, this amount can serve as a source of coverage for part of the growth working capital... Thus, the project's need for financing working capital (or net working capital) is reduced to $ 300,000.

It follows from the foregoing that project financing can be considered, on the one hand, as a set of actions of project participants, confirming the reality of receiving planned cash flows (financial efficiency of a long-term investment decision), and on the other hand, as a system for organizing participants to achieve this goal.

As economic reality shows, in Russia today there are conditions for mastering the principles of project analysis, and the sooner we can fully apply them in practice, the more successful long-term investment decisions at all levels of economic management can be.

To make informed long-term investment decisions, large institutional investors, as well as discerning private investors, need to know more about the companies that actually create value, about the dynamics of the markets, corporate strategies and non-financial factors of value that predetermine the future financial success and the share price of any firms.

Decision-making models in conditions of certainty - the decision-maker (DM) knows exactly the consequences and outcomes of any alternative or choice of decision. In the case of long-term investment decisions, this model is unrealistic.

The risk premiums used in the CMRC are used not only when choosing a portfolio of securities. They are also the basis for the valuation models. financial assets using discounted cash flows (DCF) and long-term investment decisions made by firms.

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Investments - long-term investments capital for the purpose of generating income.

Investments are an integral part of modern the economy... From credits investments differ in the degree of risk for the investor (lender) - the loan and interest must be returned within the agreed timeframe, regardless of the profitability of the project, investments are returned and generate income in profitable projects. If the project is unprofitable, investments may be lost.

Investing should not be confused with financing... Funding is the allocation of funds or resources to achieve the intended goals. If the purpose of financing is to make a profit, then financing turns into an investment. If profit is not the goal, it is not investing.

Investment classification

There are various approaches to the classification of investments, depending on the classification criterion.

By investment object:

Real investment (direct purchase real capital in various forms):

in the form of tangible assets (fixed assets, land), payment for construction or reconstruction.

Overhaul of fixed assets.

Investments in intangible assets: patents, licenses, usage rights, copyrights, trademarks, know-how, etc.

Provision of working capital.

Financial investments (indirect purchase of capital through financial assets):

securities, including through mutual funds

loans granted

leasing (for the lessor)

Speculative investments (buying assets solely for the sake of possible price changes):

precious metals (in the form of unallocated metal accounts)

By main investment goals

Direct investments

Portfolio investments

By investment terms:

short-term (up to one year)

medium-term (1-3 years)

long-term (over 3-5 years)

By the form of ownership of investment resources:

state

foreign

mixed

Capital investment

Capital investment - a set of economic resources allocated for capital construction and the reproduction of fixed assets.

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Long-term investments, their composition and characteristics.

Long-term investments (investments in fixed assets, capital investment) - the costs of the organization for the creation, acquisition of assets, which in the future will be recorded as objects of fixed assets and intangible assets and used in production process(including management) for a period exceeding 12 months.

They do not include investments of the organization in securities and authorized (share) capitals of other organizations (financial investments).

Investments in non-current assets are subdivided into costs associated with:

- creation of fixed assets by means of capital construction (in the form of new construction, as well as reconstruction, expansion and technical re-equipment of existing production and non-production facilities);

- the acquisition of land plots, objects of natural resources and individual items of fixed assets (buildings, structures, equipment, vehicles and other individual items of fixed assets or parts thereof);

- acquisition and creation of intangible assets;

- Acquisition and raising of the main herd of productive and working livestock.

Objects of non-current assets are evaluated prior to their commissioning in the amount of actual costs .

Accounting for investments in non-current assets is maintained in accordance with the procedure established by

- Regulations on accounting "Accounting for agreements (contracts) for capital construction" (PBU 2/94), approved by Order of the Ministry of Finance of Russia dated December 20, 1994 N 167,

- Regulations on accounting for long-term investments, approved by the Letter of the Ministry of Finance of Russia dated December 30, 1993 No.

N 160, and

- Chart of accounts accounting financial and economic activities of organizations and the Instructions for its application, approved by the Order of the Ministry of Finance of Russia dated October 31, 2000 N 94n.

The objects of accounting for investments in non-current assets are capital construction objects, purchased individual fixed assets, intangible assets and certain types of livestock.

Accounting for investments in non-current assets is kept by their types and objects on the account 08 "Investments in non-current assets".

To account for costs as objects of accounting for investments in non-current assets, sub-accounts are opened for account 08:

- for the acquisition of land plots - 1 "Acquisition of land plots";

- on acquisitions of nature management objects - 2 "Acquisition of nature management objects";

- for capital construction of objects - 3 "Construction of fixed assets";

- for acquisitions of fixed assets - 4 "Acquisition of fixed assets";

- on acquisitions of intangible assets - 5 "Acquisition of intangible assets";

- on costs associated with the formation of the main herd - 6 "Transfer of young animals to the main herd"; 7 "Purchase of adult animals";

- for other similar objects, organizations open other subaccounts they need.

Capital investments represent a set of costs for the reproduction of OS and the improvement of their qualitative composition - the creation of new, expansion and modernization of existing ones. The accounting primarily reflects the costs of capital investment processes, i.e. costs for

- design, construction and reconstruction of facilities

- purchase and installation of equipment, machines, devices

- costs for the purchase of finished objects.

The variety of capital investments requires their correct grouping.

According to the technological structure, capital investments are subdivided into:

- construction and installation work (CMP)

- Equipment, tools and inventory

- others capital works

To construction includes work on the construction, expansion and restoration of buildings and structures, the arrangement of foundations and foundations, the preparation and planning of development areas, etc.

To assembly includes the installation of equipment, assembly and installation of power, handling and other equipment, which can be operated only after assembly and installation on the foundation at the place of its permanent use.

Part equipment, tools and inventory includes equipment that requires installation, and equipment, tools and inventory that do not require installation (cars, free-standing machines, etc.)

To other capital investments include design and survey work, drilling work, the cost of allocating land, provided in the construction estimate.

In terms of direction, capital investments are divided into:

- new construction (construction on new sites according to the original project)

- reconstruction (reconstruction of existing workshops or production facilities)

- expansion (additional production is being built or existing production is being increased)

- technical re-equipment (a set of works is being carried out to improve the technical and economic level of individual industries based on the introduction of advanced equipment and technology)

- maintenance of capacities (constant renewal of retired fixed assets)

According to the purpose of the costs incurred:

- for the construction of facilities for industrial purposes

- for the construction of non-production facilities

- for renting, leasing, renting.

According to the degree of readiness:

- completed capital works

- unfinished (capital construction in progress)

The organization making capital investments is the developer (customer).

Capital work is carried out either by a contractual method (by special construction and installation organizations (contractors)), or by the developer himself, using a farm method.

The organization of the construction of objects, control over its progress and accounting of the costs incurred in this case are carried out by the developer.

The procedure for accounting for costs construction works and the installation of equipment depends on the method of their production - contract or economic.

With a contract method completed and completed construction and installation work is reflected by the developer on the account. 08 at the contractual cost according to the invoices of the contractor accepted for payment (including VAT):

The debt decreases as the bills are paid:

Dt 60 Kt 51, 55, 52

After the OS is put into operation (Dt 01 Kt 08), the amount of VAT paid is accepted for reimbursement from the budget:

With the economic method of construction and installation works, cost accounting is also kept on account 08. This account reflects the costs actually incurred by the developer and is reflected as follows:

Dt 08 Kt 10, 70, 51, 50, etc.

VAT is charged on the capital work performed for own needs: Dt 08 Kt 68

The commissioning of fixed assets into operation is reflected as follows: Dt 01 Kt 08

Long-term capital investment in an enterprise for the purpose of making a profit

The first letter "and"

Second letter "n"

Third letter "c"

The last beech letter "i"

The answer to the question "Long-term capital investment in any company with the aim of making a profit", 10 letters:
investment

Alternative crossword questions for the word investment

Capital investment

Overseas investment

Long-term investment in business and economy

Capital investment in the development of an enterprise

Capital investment in a sector of the economy

Definition of investment in dictionaries

Explanatory dictionary Russian language. D.N. Ushakov Meaning of the word in the dictionary Explanatory dictionary of the Russian language. D.N. Ushakov
investments, w. (econom.). Investment, contribution, invested capital... Devaluation of British Investment Caused by Unprecedented Fall in Colonial Industrial Raw Material Prices (from newspapers).

New explanatory and derivational dictionary of the Russian language, T. F. Efremova. The meaning of the word in the dictionary New explanatory and derivational dictionary of the Russian language, T.F. Efremova.
f. Capital investment in company.

Explanatory dictionary of the Russian language. S.I.Ozhegov, N.Yu.Shvedova. Meaning of the word in the dictionary Explanatory dictionary of the Russian language. S.I.Ozhegov, N.Yu.Shvedova.
-and, well. see invest. usually pl. Long-term capital investments in certain sectors of the economy within the country and abroad (special). adj. investment, th, th. I. fund.

Great Soviet Encyclopedia Definition of the word in the dictionary Great Soviet Encyclopedia
(German Investition, from Lat. investio ≈ I dress), long-term investment in industry, agriculture, transport and other sectors of the economy, both domestically and abroad in order to make a profit. In bourgeois economics they differ ...

Examples of the use of the word investment in the literature.

The latter increased their dependence on Western states and, even more significantly, required incessant external investment, since the internal potential of accumulation was actually exhausted, and an unprecedentedly large part national income used for investment purposes.

It is especially important to keep in mind that the next portion of subsidies from the budget, even if provided, will not change the behavior of enterprises, since it will be perceived as another investments to maintain the industrial sector among those that, continuing for several decades in a row, have brought the country to its current position.

Thus, in the last decade investments in education have become a profitable and prestigious investment.

From investment investments in the real sector are dominated by investments in the raw materials sector.

The situation was aggravated by the fact that since August 17, the population's funds as a possible investment source for investing in long-term investments lost.

How to refuse the "World" card: step-by-step instructions

Why bankers are against the "Mir" card

Long-term investments: nature and types. Long-term capital investment for the purpose of generating income Long-term capital investment for the purpose of