Assets are any item owned by an individual or company which has value (i.e. it could be sold). There are different types of assets, such as productive assets, non productive assets, fixed assets, and intangible assets.

Productive assets are assets whose value appreciates over some period of time, or which produce a cash return. Such assets might be a portfolio of shares, a rental property, or plant and machinery for a business. Non-productive assets are assets which do not produce a return or whose value depreciates over time. Such assets might be a vehicle, electronic goods and so on.

Both individuals and companies should seek to invest in those assets which will produce a return, and minimise the purchase of non-productive assets.

What to do if you need more help

If you need more help with your specific commercial loan, mortgage or insurance requirement please speak to a professional financial adviser.

We hope you found this information useful.

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