invest v
1. make an investment; "Put money into bonds" [syn: put, commit, place] [ant: divest]
2. give qualities or abilities to [syn: endow, indue, gift, empower, endue]
3. furnish with power or authority; of kings or emperors [syn: clothe, adorn]
4. provide with power and authority; "They vested the council with special rights" [syn: vest, enthrone] [ant: divest]
5. place ceremoniously or formally in an office or position; "there was a ceremony to induct the president of the Academy" [syn: induct, seat]

Invest \In*vest"\, v. t. [imp. & p. p. Invested; p. pr. & vb. n. Investing.] [L. investire, investitum; pref. in- in + vestire to clothe, fr. vestis clothing: cf. F. investir. See Vest.]
1. To put garments on; to clothe; to dress; to array; -- opposed to divest. Usually followed by with, sometimes by in; as, to invest one with a robe.
2. To put on. [Obs.] Can not find one this girdle to invest. --Spenser.
3. To clothe, as with office or authority; to place in possession of rank, dignity, or estate; to endow; to adorn; to grace; to bedeck; as, to invest with honor or glory; to invest with an estate. I do invest you jointly with my power. --Shak.
4. To surround, accompany, or attend. Awe such as must always invest the spectacle of the guilt. --Hawthorne.
5. To confer; to give. [R.] It investeth a right of government. --Bacon.
6. (Mil.) To inclose; to surround of hem in with troops, so as to intercept succors of men and provisions and prevent 220 catflap.bishopston.net dictd 1.11.2/rf on FreeBSD 8.1-STABLE <228842.30719.1293062361@catflap.bishopston.net>

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Investment is putting money into something with the hope of profit. More specifically, investment is the commitment of money or capital to the purchase of financial instruments or other assets so as to gain profitable returns in the form of interest, income (dividends), or appreciation (capital gains) of the value of the instrument.

Investment comes with the risk of the loss of the principal sum. The investment that has not been thoroughly analyzed can be highly risky with respect to the investment owner because the possibility of losing money is not within the owner's control. The difference between speculation and investment can be subtle. It depends on the investment owner's mind whether the purpose is for lending the resource to someone else for economic purpose or not.

In the case of investment, rather than store the good produced or its money equivalent, the investor chooses to use that good either to create a durable consumer or producer good, or to lend the original saved good to another in exchange for either interest or a share of the profits. In the first case, the individual creates durable consumer goods, hoping the services from the good will make his life better. In the second, the individual becomes an entrepreneur using the resource to produce goods and services for others in the hope of a profitable sale. The third case describes a lender, and the fourth describes an investor in a share of the business. In each case, the consumer obtains a durable asset or investment, and accounts for that asset by recording an equivalent liability. As time passes, and both prices and interest rates change, the value of the asset and liability also change.

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