investment

An investment is an asset or property 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 or for generating a profit.

An investment involves using capital in the present to increase an asset’s value over time.

Investments may include bonds, stocks, real estate, or alternative investments.

Investments can be diversified to reduce risk, though this may reduce the amount of earning potential.

In business contexts, investments are financial; however, consider how some people spend time to make higher incomes in the future (i.e. invest in a college education).

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Dear Inner Circle member,

Lots of good news came to light for the economy and market this past week. The U.S. unemployment rate stayed at 4.1% for a second month in a row, a 17-year low. Hurricanes in August and September hurt hiring, but it snapped back quickly, and a wide range of job seekers found work.

Here’s one particularly hopeful sign: for workers over 25 without a high-school diploma, the jobless rate fell to 5.2% in November....



iShares MSCI Thailand Capped ETF LISTEN:




The Thai economy is emerging from the slump caused by the political turmoil of 2013-15....
PRECISION DRILLING CORP. $3.37 (Toronto symbol PD; Aggressive Growth Portfolio, Resource sector; Shares outstanding: 293.2 million; Market cap: $985.1 million; Price-to-sales ratio: 0.9; Dividend suspended in March 2016; TSINetwork Rating: Extra Risk; www.precisiondrilling....
While TD (see page 1) is our favourite for new buying, we also like the outlook for Canada’s other big banks. We advise all Canadian investors to hold at least three of them.

Like TD, the remaining four banks trade at attractive multiples to their improved earnings; each should also continue to increase its dividend....
Thanks to a series of acquisitions, TD now has the broadest U.S. exposure of any Canadian big bank. In fact, it now has more branches south of the border than in its home market.

Unlike Canada, the U.S. has hundreds of smaller banks. TD’s strong earnings put it in a position to keep adding more of those firms to its American operations....
Beta is a commonly used, but sometimes misleading measure of volatility. To calculate a stock’s beta, an index like the S&P/TSX Composite or the S&P 500 is assigned a beta of 1.0. The historical volatility of different stocks relative to the index are then measured.

If a stock has a beta of 1.0, then it means that the market and the stock move up or down together at the same rate....
Here are three new ETF launches. Each uses “quanitative modelling.” That may make their investment approach sound scientific; however, in our view, it will likely detract from their long-term returns. Many ETFs that use a socalled “black box” to pick stocks find the approach works only for a while, or in retrospect....
The U.S. opens up a big market for Canadians looking to invest in commercial real estate. However, direct access to that real estate (multi-family, retail, offices or industrial properties) is difficult for most Canadian individual investors.

As with all commercial real estate, the large size of those transactions can block investment....
VANGUARD U.S. REIT ETF $84 (New York symbol VNQ; TSINetwork ETF Rating: Conservative; Market cap: $35.1 billion) provides exposure to a selection of U.S. real estate investment trusts (REITs). The fund does that by tracking the MSCI U.S. REIT Index....
The Thai economy is emerging from the slump caused by the political turmoil of 2013-15. During that period, a military coup ousted the country’s prime minister and installed a military-led government.

As a result, economic growth fell sharply as exports and tourism plummeted....