Financial Investments vs Physical Investment
Many savers will have their first preference for physical investments which are less productive and rarely income earning. Such investments are in consumer goods — non-durables or durables, gold, silver, cars and antiques and 'Curios.' These are satisfying the immediate consumer needs, for comfort, luxuries, social status, ego satisfaction, etc. Some investments of physical nature are more in real estate, land, buildings etc. Some of them if rented out to others give income and sometimes capital appreciation also, if the location is at good places or commercial areas. Similarly, gold, silver and other metals, diamonds, and antiques may present capital appreciation, without giving any regular income. Some investments are for social status and prestige as gold, diamonds, jewellery etc.