Meaning & use

investment

noun·Everyday

Last updated

UK/ɪnˈvestmənt/
US/ɪnˈvestmənt/

Meanings

  1. nouncountable or uncountable

    Money put into a business, property, or asset in order to make a profit or earn interest later.

    Grammar: Use 'an investment' for a particular sum or deal, and 'investment' as an uncountable noun for the general activity: foreign investment.

    Patterns

    • investment in something
    • make an investment
    • a good/bad investment

    She made a small investment in a local bakery and now owns half of it.

    Foreign investment in the region has grown steadily over the past decade.

    The house turned out to be a poor investment because the roof needed replacing.

  2. noununcountable

    The act of putting money into something to make a profit.

    Grammar: Often used after verbs like 'encourage', 'attract', or 'discourage': The government wants to encourage investment.

    Patterns

    • encourage investment
    • attract investment
    • a return on investment

    The new tax rules are designed to encourage investment in clean energy.

    They calculated the return on their investment after five years.

    Investment carries risk, so never put in more than you can afford to lose.

  3. nouncountable or uncountablefigurative

    Time, effort, or energy spent on something because it will bring a future advantage.

    Grammar: Common in phrases like 'an investment of time' or 'a huge investment of effort'; figurative, not about money.

    Patterns

    • an investment of time/effort
    • investment in someone/something
    • worth the investment

    Learning a second language is an investment of time that pays off for years.

    The company sees training as an investment in its staff, not a cost.

    Getting enough sleep is a worthwhile investment in your health.

  4. nouncountable

    Something that you buy because it will be useful or valuable in the future.

    Grammar: Often used for expensive things bought for long-term use, such as a good coat or a reliable car.

    Patterns

    • a good investment
    • buy something as an investment
    • a wise investment

    A good winter coat is an investment you won't regret.

    They bought the painting as an investment rather than for pleasure.

    Good tools are an investment for any serious gardener.

Word forms

pluralinvestments

Common combinations

make an investment
Before you make an investment, read the terms carefully.
a return on investment
The fund promises a high return on investment.
foreign investment
Foreign investment fell sharply during the crisis.
long-term investment
A pension is a long-term investment.
investment bank
He works for an investment bank in the city.
a safe investment
Government bonds are considered a safe investment.

Synonyms and how they differ

funding
Funding is money provided for a project or organization, often by a government or sponsor, while investment is expected to bring a profit back.
capital
Capital is the money or assets a business uses to operate; investment is the act of putting money in, often to get more back.
stake
A stake is a share or interest in a company; an investment is the money you put in to get that stake.

Opposites

Word family

invest verb
To put money, time, or effort into something for future benefit.
investor noun
A person who puts money into a business or asset.
investing noun
The activity of putting money into assets.

Commonly confused: investment or investment?

investment vs investment

Not to be confused with 'investiture', which is a formal ceremony giving someone a rank or office.

Practice

The company plans to ______ in new machinery next year.

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