Investment Vehicle
Definition of 'Investment Vehicle'A product used by investors with the intention of having positive returns. Investment vehicles can be low-risk, such as certificates of deposit (CDs) or bonds, or can carry a greater degree of risk such as with stocks, options and futures. Other types of investment vehicles include annuities, collectibles (art or coins, for example), mutual funds and exchange-traded funds (ETFs). |
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Investopedia explains 'Investment Vehicle'The term "investment vehicle" refers to any method by which individuals or businesses can invest and, ideally, grow their money. There is a wide variety of investment vehicles and many investors choose to hold at least several types in their portfolios. This can allow for diversification while minimizing risk. |
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