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Short-term vs. long-term investments © William Potter // iStock Shopping cart of investments
Financial goals exist on a timeline that stretches into the future. Some goals, like buying a new car, might take place in the near future, perhaps inside just a couple of years.
Others, like retirement, may be decades away. Investment strategies for these goals typically vary. Here’s a look at long- and short-term investment strategies and some of the important considerations that come with each.
Related:
What Is a Long-Term Investment?
Long-term investments are typically held for a few years or more to help fund long-term goals like saving for a child’s college education or retirement.