Sunday, May 25, 2008

investment

Definition 1
In finance, the purchase of a financial product or other item of value with an expectation of favorable future returns. In general terms, investment means the use money in the hope of making more money.

Definition 2

In business, the purchase by a producer of a physical good, such as durable equipment or inventory, in the hope of improving future business.



Related Terms

advisor, aggressive, conservative, annual return, approved list, nonlegal, asset allocation, asset class, automatic investment plan, automatic reinvestment plan, balanced investment strategy, capital investment, compounding, cost of capital, cutoff point, defensive investment strategy, disinvestment, diversification, DRIP, expected return, ground floor, hedge, leveraged investment company, gain, loss, minority ownership, net investment, net present value, net yield, non-investment property, play, portfolio, prospectus, rate of return, reinvestment, Rule of 72, screening, security, seed capital, statutory investment, yield

Related Research Articles from the InvestorGuide.com University

Saving
Have extra money lying around? This article tells you why you should save and how much you should save, with specific emphasis on creating an emergency fund, and when to invest in high-risk, high-return ventures.

Goals and Progress
Continuing the discussion of our simple 7 step budgeting process, this article includes information on how to set goals, and consequently how to achieve them.

Income and Expenses
Information on necessary steps in any budgeting process. Topics include determining your income, determining your expenses (whether they are fixed committed expenses, variable committed expenses, or discretionary expenses), and comparing the two.

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