Prudence and a bit of luck can help investments grow quickly. There are a variety of investment opportunities available, and every day new ones keep popping up. There are certain basic principles which one can adhere to while making an investment decision. It doesn't matter whether the investment is big or small; one must get complete information about the area where one wants to invest.

Investments serve different purposes for different persons in different circumstances. For some, it provides security for the future, while for others it is a financial instrument to earn good returns in short term. Generally, people invest in mutual funds, stocks, government and other securities, real estate and several other assets. A good investment portfolio has a mix of highly liquid and less liquid assets. It is also a mix of short-term and long-term investments.

There are companies and professionals which can advise you in terms of making investment decisions. There are also companies which are ready to make investments on your behalf. Some of them ensure a minimum rate of returns, while others do not. Before making an investment in any such company, be sure about its credentials.

If one doesn't want to hire a company one can make investments individually also. But if you are a new investor avoid putting all your eggs in one basket. Make diversified investments instead.

After some time, when you start getting the returns, you would be able to decide about the kind of investment portfolio you will be comfortable with. If you are looking for long-term investments, it is always better to buy in a bear market, and sell in a bull market. Short-term securities or equity investments in the secondary market are more suited for short-term investments.