Definition - What does Investor mean?

An investor is a person who puts money into a service that will not receive an immediate profit, which will not be immediately paid back, and is also conditioned by being differentiated from a loan as the purpose of handing the money over is to gain more money from allowing it to be used in a certain regard. Investors can directly invest money into a financial instrument, business idea, stock, bond, or may ask an agent to do so on their behalf. The beneficial owner of the money that is the core of the investment is considered the investor.

Justipedia explains Investor

It is usual for a percent of the base sum to be repaid as well as the principal in the same manner as a loan would be. Thus, it would be a fixed rate investment. Investments can also take the form of a varying no-guarantee where the investor may end up gaining exponentially more than the base investment or they may lose their original investment. As long as the terms are outlined prior to the investment, either situtuation is possible.

Share this:

Connect with us

Find a Lawyer