When you make, you expect to earn from those . This earning comes to you in one of 2 different ways:
- Appreciation in value
Interest is the most widely understood kind. When you put our money into a savings bank account or FD, you earn interest income. The rate of interest is fixed and the amount gets paid out to you.
The same thing happens when you in shares or a . Your return comes in the form of gains you make when the value increases. When you through Scripbox, your money gets invested in . It does not earn interest but is expected to increase in value.It is useful to remember the difference. It is also important to remember that appreciation in value takes time.