Vested Interest

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Dictionary Says

Definition of 'Vested Interest'

1. The lawful right of an individual or entity to gain access to tangible or intangible property now or in the future. A vested interest is an entitled benefit, which can be conveyed to a separate party. There is usually a vesting period before the claimant can gain access to the asset or property. Due to the right of ownership, the benefit can not be taken away i.e. the vested funds are not contingent on any action or inaction.

2. A financial or personal stake one entity has in an action, separate entity or commitment, with the expectation of realized benefits in the present or the future.
Investopedia Says

Investopedia explains 'Vested Interest'

1. This can most notably be seen in employee pension plans. Contributions are made under the stipulation that retirement funds will be entitled to the participant, known as a vested right. The vesting period (period of time before access is granted) varies among pension plans. The withdrawal amounts can be restricted to a certain percent each year. For example, after waiting the five year vesting period, Peter was only allowed to withdraw 20% of his retirement fund each year.

2. In this case, the outcome will affect the entity, thus creating a vested interest. For example, if you have a mortgage, your bank has a vested interest in your ability to make your periodic payments.
Search results for

'Vested Interest'

  • Stock Analysts: Should You Listen?

    http://www.investopedia.com/articles/stocks/10/stock-analysts.asp
    ... Analysts.) Buy Side Or Sell Side? Buy side analysts often have some sort of
    vested interest in the stock. A buy side analyst working for ...

  • Institutional Investors And Fundamentals: What's The Link?

    http://www.investopedia.com/articles/fundamental/03/101503.asp
    ... Advertisement - Article continues below. Besides, the institutions with large stakes
    have a vested interest in increasing the value of their shareholdings. ...

  • Top 4 Most Scandalous Insider Trading Debacles

    http://www.investopedia.com/articles/stocks/09/insider-trading.asp
    ... Using wholly-owned family corporations to hide the trades, Wiggin built up a position
    that gave him a vested interest in running his company into the ground. ...

  • Pay Attention To The Proxy Statement

    http://www.investopedia.com/articles/stocks/07/proxy_statement.asp
    ... Also look at their option positions. Do they have a vested interest in seeing
    the shares rise? Or are they merely collecting a fat paycheck? ...

  • Get To Know The Major Central Banks

    http://www.investopedia.com/articles/forex/06/CentralBanks.asp
    ... the ECB strives to maintain the annual growth in consumer prices below 2%. As an
    export dependent economy, the ECB also has a vested interest in preventing ...

  • 4 Traits Of A Top Financial Blog

    http://www.investopedia.com/articles/pf/09/financial-blog.asp
    ... Let's examine these benchmarks in detail. What's the Motive? The first
    aspect to examine is the writer's vested interest. Owning ...

  • Get To Know The Major Central Banks

    http://www.investopedia.com/articles/forex/06/centralbanks.asp
    ... the ECB strives to maintain the annual growth in consumer prices below 2%. As an
    export dependent economy, the ECB also has a vested interest in preventing ...

  • The Treasury And The Federal Reserve

    http://www.investopedia.com/articles/economics/08/treasury-fed-reserve.asp
    ... November 07 2008 | Filed Under ยป Bonds, Economics. The US government has a vested
    interest in the health and welfare of the country's economy. ...

  • Find Hidden Stock Gems That Analysts Ignore

    http://www.investopedia.com/articles/fundamental-analysis/10/hidden-stock-gems.asp
    ... Sell side analysts on the other hand, typically provide insight to the buying public
    and can often have some vested interest in the company they are touting. ...

  • Research In Motion's New CEO: Can He Turn It Around? ...

    http://financialedge.investopedia.com/financial-edge/0212/Research-In-Motions-New-CEO-Can-He-Turn-It-Around.aspx
    ... quarters. To hear Heins say it, a man with something of a vested interest
    in the outcome, it's going to be great. Unfortunately ...

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