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How is investing different from putting money in a savings account?

Saving and investing are similar—both deal with money that isn’t allocated for everyday expenses, and both are critical to your future financial success. A savings account is offered by a bank and earns an interest rate set by that institution. In contrast, investing specifically refers to buying and selling securities like stocks and bonds. There is more risk with investing than with saving, but the potential for growth is often higher. 

Want to learn more about the differences between saving and investing? See here.

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