Diseases, Conditions, Syndromes

Study shows where money is best spent to fight a pandemic

In deciding on how to combat pandemics like COVID-19, the total amount a government is willing to invest is critical. Countries with few budgetary and economic constraints should invest heavily in prevention measures, while ...

Neuroscience

Brain activity foreshadows changes in stock prices

Forecasting changes in stock prices may be possible with the help of brain activity in regions associated with how people feel before making investment choices. Scientists could accurately forecast market price changes based ...

Diseases, Conditions, Syndromes

Investing in protective gear for health care workers pays off

Providing adequate personal protective equipment (PPE) for all health care workers around the world requires an initial investment of billions of dollars, but the returns on that investment could be close to 8000% in productivity ...

Diseases, Conditions, Syndromes

Why flu vaccinations will matter even more during the pandemic

Amid all the anxiety over finding treatments for COVID-19, is the influenza virus getting the short end of the stick from policymakers in terms of investments in mitigation? In fact, flu mitigation needs more attention from ...

Health

Calling for nursing support amid COVID-19 pandemic

There are close to 28 million nurses around the world who comprise a global workforce that delivers about 90 percent of primary healthcare, including frontline response to the COVID-19 pandemic. Ensuring their optimal contribution ...

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Investment

Investment or investing is a term with several closely-related meanings in business management, finance and economics, related to saving or deferring consumption. Investing is the active redirection of resources: from being consumed today, to creating benefits in the future; the use of assets to earn income or profit.

An investment is a choice by an individual or an organisation such as a pension fund, after at least some careful analysis or thought, to place or lend money in a vehicle (e.g. property, stock securities, bonds) that has sufficiently low risk and provides the possibility of generating returns over a period of time. Placing or lending money in a vehicle that risks the loss of the principal sum or that has not been thoroughly analyzed is, by definition speculation, not investment.

In the case of investment, rather than store the good produced or its money equivalent, the investor chooses to use that good either to create a durable consumer or producer good, or to lend the original saved good to another in exchange for either interest or a share of the profits.

In the first case, the individual creates durable consumer goods, hoping the services from the good will make his life better. In the second, the individual becomes an entrepreneur using the resource to produce goods and services for others in the hope of a profitable sale. The third case describes a lender, and the fourth describes an investor in a share of the business.

In each case, the consumer obtains a durable asset or investment, and accounts for that asset by recording an equivalent liability. As time passes, and both prices and interest rates change, the value of the asset and liability also change.

An asset is usually purchased, or equivalently a deposit is made in a bank, in hopes of getting a future return or interest from it. The word originates in the Latin "vestis", meaning garment, and refers to the act of putting things (money or other claims to resources) into others' pockets. See Invest. The basic meaning of the term being an asset held to have some recurring or capital gains. It is an asset that is expected to give returns without any work on the asset per se.

This text uses material from Wikipedia, licensed under CC BY-SA