Finance is not one single topic that can be understood at a stretch and there is no one and final definition of that in the first place. Before trying to understand the term finance in short, you need to understand the two basic financial activities involving in finance systems.

The first related activity is the study of how to acquire, accumulate or gather money and the second activity is the way you can manage it in the right way so you can get the best out of it instead of facing the loss.

You can study the way money or funds are managed. It is all right to say that finance is all about money management. A student of finance will become a good money manager. There are a lot of processes to acquire the needed funds to finance a project in which investors intend or want to invest. An investor wants to invest to gain profits. So, the first thing that you need to be clear about finance is two related activities: acquiring and managing money or funds.

Study, creation, and oversight of funds are also closely related to finance because these kinds of elements are responsible for making up financial systems. Finance also encompasses assets, liabilities, credits, debits, banking, and so on.

You will be able to learn so many basic concepts of finance on your own in a way that there is no need to hire a finance expert, teacher, lecturer or processor. The fact is that you are not supposed to study finance because you are going to get a job but you must get it if you are just a small business owner it will help you in different ways. In order to better understand finance, it is advisable to study micro and macroeconomic theories.

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