equity-investment-return

Vocabulary Word

Definition

'Equity Investment Return' is the profit made from investing in a company's equity, or shares. This profit can come from an increase in the share's price or from any dividends the company pays out.

Examples in Different Contexts

In investment portfolio management, optimizing 'equity investment return' involves selecting stocks that offer the best potential for growth. An investment manager might advise, 'We focus on companies with strong fundamentals to maximize our equity investment return.'

Practice Scenarios

Finance

Scenario:

Our selected growth stocks are performing exceedingly well. It seems like our investment strategy is paying off.

Response:

The high equity investment return indicates the success of our decision to invest in growth stocks.

Real Estate

Scenario:

The recent developments in the neighborhood have significantly increased property values. The decision to invest here seems to have been a good one.

Response:

Our equity investment return from this property was higher than expected due to the area's rapid development.