Medium-term investments are those where it is not necessary for years to pass to see the return on the investment, since whoever invests chooses the time in which that capital will be captive.
The time in which it is thought to make an investment in the medium term is between two and ten years, which allows the investor to plan in which to invest the capital. An example of this is when the person buys and sells currencies, since it generates a certain difference for the person who carries out the transaction, that is, he buys the currency at a lower value and sells it at a higher price to obtain a profit. The same happens when a property is acquired or even a good furniture and a car to make it a passenger, inverted but the turnaround time is much lower capital.
This type of investment, although the risk is lower, given the time it is estimated to have the capital back together with the profit, there will always be risks, so it is necessary to know and be visionary about the businesses in which you are wants to undertake. a way to invest in the medium term is buying papers listed on the stock exchange or, cash in a bank to generate interest, given that less time and less interest as long as the rate is much higher.
It should be noted that making a medium-term investment in countries with a high inflation rate is not recommended, since the value of the currency is constantly devalued and the return on the investment together with the profit will be much lower than the initial capital.
