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    Investment: How and Where to Invest - Investopedia

    Learn what an investment is, how to research and choose different types of investments, and how to calculate return on investment. Explore stocks, bonds, funds, real estate, commodities, cryptocurrency, and collectibles as investment options.

    Investopedia

    An investment is an asset or item acquired to generate income or gain appreciation. Appreciation is the increase in the value of an asset over time. It requires the outlay of a resource today, like time, effort, and money for a greater payoff in the future, generating a profit.

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    The primary way to gauge the success of an investment is to calculate the return on investment(ROI). ROI is measured as: ROI = (Current Value of Investment - Original Value of Investment) / Original Value of Investment ROI allows different investments across different industries to be compared. For example, consider two investments: a $1,000 invest...

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    Investment return and risk commonly have a positive correlation. If an investment carries high risk, it should be accompanied by higher returns. When making investment decisions, investors must gauge their risk appetite. Some may be willing to risk the loss of principle in exchange for the chance at greater profits. Alternatively, extremely risk-av...

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    An investment is a plan to put money to work today to obtain a greater amount of money in the future. It is also the primary way people save for major purchases or retirement. With stocks, bonds, real estate, or commodities, individuals can create a diversified portfolio.

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