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Variable investment definition

Like empty land, a non-dividend paying stock, this investment relies on potential capital gains only.


Variable investment is an investment with a return comprised exclusively of changes in the value of the asset. This subjects owners to capital gains and losses and principal is not guaranteed. All other things being equal, an investor would expect a higher rate of return as a trade-off for accepting greater risk.

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An example of a variable investment is a non-dividend paying biotechnology stock. | True or False?


In a Sentence

Doc:  A variable investment  is generally suited for? . . ...Class?
Lia:  Investors with a high tolerance for risk.


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~/ home  / finance  / glossary  / variable investment

variable investment
varable return
not guaranteed
capital gains
capital losses
variable NAV
no interest
no dividends