INVESTMENT CONCEPT STRATEGY Flashcards
is an asset or item that is purchased with the hope that it will generate income or will appreciate in the future.
INVESTMENT
– is the purchase of goods that are not consumed today but are used in the future to create wealth.
INVESTMENT (in economic)
– is a monetary asset purchased with the idea that the asset will provide income in the future or will be sold at a higher price for a profit.
INVESTMENT (in finance) –
the loss of the principal amount of an investment.
RISK
the protection of investor principal amount and expected rate of return.
SAFETY
– it refers to an investment ready to convert into a cash position.
LIQUIDITY
refers to buying and selling of securities in the market.
MARKETABILITY
means investment to be safe from social disorders, government confiscations or unacceptable levels of taxation, property must be concealable and leave no record of income received from its use or sale.
CONCEALABILITY
refers to appreciation of investment
CAPITAL GROWTH
refers to the buying capacity of investment in market.
PURCHASING POWER STABILITY
– refers to constant return from an investment.
STABILITY OF INCOME
– refer to plan an investment programme without regard to one’s status may be costly to the investor.
TAX BENEFIT
– individual who are investing on their own.
INDIVIDUAL INVESTORS
entities such as investment companies, commercial banks, insurance companies, pension funds, and other financial institutions.
INSTITUTIONAL INVESTORS
– a nationally recognized, well-established, and financially sound company that has a large capitalization and trades on a major stock exchange.
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