Investment Product

  

Categories: Investing

A bond. One that matures in 10 years is backed by Ford, and yields 7%. That's an investment product. A share of MSFT stock. That's an investment product.

Think of these items as "a la carte."

Roll them together and you get funds. Bond funds. Stock funds. Mutual Funds. Add peppers and spices called derivatives. And maybe you have a hedge fund. Want an investment lottery ticket? Try a venture capital fund. Many go completely bust, but every now and then, Silicon Valley pumps out one of these wherein investors get 50 times their money in a decade.

All investment products. Low cholesterol, even.

Related or Semi-related Video

Finance: What are Diversified v. Non-Div...3 Views

00:00

Finance a la shmoop what are diversified versus non diversified funds?

00:08

all right diversified a few eggs each in lots of baskets non-diversified all your [Baskets of eggs appear]

00:16

eggs in one basket diversified a mutual fund with 128 different growth equities

00:22

in it like Coke, Disney, JPMorgan and Tesla non-diversified Mark Zuckerberg [Diversified and non-diversified company's appear]

00:28

portfolio diversified a portfolio with stocks bonds real estate commodities and

00:33

fancy artwork from some talented dead people non diversified when your entire [Undiversified portfolio appears]

00:39

holdings comprise this.. when you invest in a diversified fund you spread your

00:46

money around ie stick your fingers in a whole bunch of different pies so that if [Woman puts finger into pie]

00:50

one pie turns out to be well poisoned it won't mean financial death at least not

00:56

unless you're a thumbsucker [Baby sucking thumb]

Up Next

Finance: What is an Income Fund?
0 Views

An income fund is a fund designed to produce income for its investors. Wow. We never would've guessed.

Finance: What is a Sector Fund?
5 Views

What's a sector fund? Hit play to find out.

Finance: What is a quant fund?
0 Views

A quant fund is an investment fund, often featuring elements of hedging, that relies heavily on math. So... maybe stay awake in calculus. You might...

Find other enlightening terms in Shmoop Finance Genius Bar(f)