Classification of investments

Classification of investments

Allow to tell several indicators about classification of investments:

  • types of subjects to investment;
  • investment period;
  • forms of ownership;
  • nature of the investment territory;
  • nature of participation in investment.

On subjects to investment real and portfolio allocate types. Investments of money in the existing material and also intangible assets are real (that is intellectual property, the fixed and working capital). Also classification of investments of the enterprise provides existence of portfolio investments, that is an investment of money in tools of financial character (currencies, precious metals, deposits of banks, securities).

What exists classification of forms and types of investments by the nature of participation in process of an investment?

Allocate direct and indirect investments as participation in process of a monetary investment. The first provide that the investor participates in the choice of that firm or company in which injections of means become. The second type of investments is characterized by the fact that they are done by the mediated faces, namely other financial institutions, share funds, firms and the companies which specialize in investment.

On the period of monetary investments the types of investments and their classification represent such scheme: short-term, average and long-term. Investments for time are less than one year short-term. Medium-term provide the period from one to five years. Over five years is an insertion of money of long-term type.

Also classification and structure of investments directly depends on form of ownership on objects which are participants of process of investment. By this principle allocate the private, foreign, state, joint and mixed monetary investments. Citizens and the private organizations, that is the companies, firms, make a contribution which it is accepted to call private. Also classification of investments provides existence of a concept of the state investment. This investment which is done by governing bodies of local value of the budget, off-budget and additional accounts. The state investments are made by also unitary enterprises through mobilization of funds. It is necessary to tell that types of investments and their classification define existence of the mixed type of investments which are a share investment of finance the state, municipal units and natural or legal entities. Subjects of the concrete country and the foreign states together can make investments which are called joint. Respectively, foreign investments are carried out only by foreign natural and legal entities.

What exists classification of foreign investments today?

As a rule, classification of foreign investments is not uniform. It depends on such indicators:

  • sources and forms of investment;
  • extent of control of the enterprises which receive monetary injections;
  • nature of use of means;
  • way of accounting of cash flows.

Of course, the concept and classification of investments still are not completely created terms of economy. Their variation is constant and depends on a set of external and internal factors. Today classification of investments is not exhausted by the called positions and can have other indicators, characteristics and features.

Author: «MirrorInfo» Dream Team