DEFINITION A person who purchases income-producing assets. An investor as opposed to a speculator usually considers safety of principal to be of primary importance. In addition, investors frequently purchase assets with the expectation of holding them for a longer period of time than speculators. The primary concern of an investor is to minimize risk while maximizing return, as opposed to a speculator.

An investor (individual or firm) makes investment decisions primarily based on the prospect for financial gain; financial investors tend to uses financial skills and methods to increase returns and manage risks. An investor is someone who puts money into something with the expectation of a financial return. The types of investments include, --- equity, debt securities, currency, commodity, derivatives such as put and call options, etc. This definition makes no distinction between those in the primary and secondary markets. That is, someone who provides a business with capital and someone who buys a stock are both investors. Those in the secondary market are considered investors.

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