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INVESTING INVESTING ESSENTIALS
Cash Investment
By JAMES CHEN Reviewed by GORDON SCOTT Updated Oct 23, 2020
What Is a Cash Investment?
A cash investment is a short-term obligation, usually fewer than 90 days, that provides a return in the form of interest payments. Cash investments generally offer a low return compared to other investments. They may also have very low levels of risk, in addition to being insured by the Federal Deposit Insurance Corporation (FDIC).
A cash investment also refers to an individual’s or business's direct financial contribution to a venture, as opposed to borrowed money.
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