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Includes transactions in equity securities, such as common stock, and debt securities, such as banknotes, bonds, and debentures. Portfolio investments are passive investments, as they do not entail active management or control of the issuing company.
To allocate money (or sometimes another resource, such as time) in the expectation of some benefit in the future. In finance, the expected future benefit from investment is a return that may consist of capital gain and/or investment income, including dividends, interest, rental income etc.
A person’s or organization’s position when they cannot pay debts when they are due for repayment.
A promise to compensate someone else for loss or damage or protection from legal responsibility from a person’s actions.
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