Glossary
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Investments

Definition

  1. The buying of shares in individual companies or units in collective funds (unit trusts, OEICs etc) in order to earn income and to make a capital profit.
  2. The placing of money with banks and other financial institutions in order to earn interest.

In the UK, the Financial Services Act 1986 defines investments to include shares, debentures and other securities such as government securities, certain options and warrants, unit trusts and other forms of collective investment schemes, futures contracts and some long term life insurance contracts.