InvestorWords.com

investment

Definitions (2)

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.

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.

Featured Tip

The 3 Most Timeless Investment Principles (1 of 3)Always Invest with a Margin of Safety: Margin of safety is the principle of buying a security at a significant discount to its intrinsic value, which is thought to not only provide high-return opportu ... Read more