capital investment

Money into assets

Capital investment is money spent to acquire or improve long-term assets—buildings, equipment, machinery, or infrastructure.

Companies make capital investments expecting returns over years rather than months: The factory required a significant capital investment.

The term also covers funds used to start or expand a business.

Distinguished from operating expenses, which cover day-to-day costs.

funding

private equity

Capital for unlisted companies

underwriting · capitalization · endowment · backing · shareholder · syndicate · series B · mezzanine · bridge financing · buyout

returns

dividend

Corporate profit share

profit · gain · income · interest · cash flow · payback period · hurdle rate · net present value · reinvestment · compounding

assets

equity

Impartial treatment or ownership value

equipment · machinery · infrastructure · portfolio · stake · holdings · fixed assets · tangible assets · intangible assets · depreciation

risk

volatility

Rapid, unpredictable changeability

exposure · liability · downside · leverage · speculation · diversification · hedging · due diligence · credit risk · market risk

strategy

allocation

Distribution of shares

horizon · analysis · valuation · forecasting · rebalancing · exit strategy · divestiture · optimization

Categories
Opposites
expenditure type

capital investmentoperating expenses

Routine business costs

operational costs · overhead costs · maintenance costs

financial action

capital investmentdivestment

Disposal of assets

disinvestment · capital flight · sell-off · downsizing · retrenchment

economic activity type

capital investmentconsumption

Using up of resources

consumer spending · spending down · resource depletion · discretionary spending · economic contraction

Family

capital, investment, investor, capitalism, invested, capitalist, investing, capitalize, investors

Familiarity
Top 200,000
Profile
Used worldwide · Timeless · Abstract · Rated G