Non-financial investments are the one that grows in value over time and offers to invest opportunity however in the long term. Non-financial investments could be tangible and intangible.
- Tangible Investments include real assets like land, building, vintage vehicles, etc.
- Intangible investments include patents, intellectual property, financial data, etc.
A financial asset is a liquid asset whose value comes from a contractual claim, whereas a non-financial asset’s value is determined by its physical net worth. Non-financial assets cannot be traded.
Let’s understand some significant Non-financial investments.
Land and Building
Real estate has become a profitable investment mode as land prices increase regularly.