An investment refers to any asset that is obtained for cost on the grounds that it is expected to provide value in the future that will exceed its initial cost and time to value.
This happens due to an appreciation of the asset’s value. This could be because of:
- A change in market conditions (such as with stocks)
- A change in the overall supply (such as the works of a particular artist growing more expensive as collectors accumulate more of the overall supply)
- Because of a direct improvement being made (such as with buying real estate and renovating to increase the value).
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0:00 Investments Definition
0:58 Investment Methods / Categories
2:41 Investment Question & Application
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