invests

Invests is the third-person singular present tense form of the verb invest. In common usage, to invest means to allocate money, time, or other resources to a project or asset with the expectation of a future benefit.

In finance, individuals or institutions invest to earn returns. Common investment assets include stocks, bonds, real estate, and private companies. Investments carry risk and depend on factors such as market conditions, time horizon, and fees. Decisions are often guided by analyses of expected return and risk, diversification, and liquidity.

Beyond money, invest can refer to dedicating resources such as time, effort, education, or attention to improve future outcomes. For example, a person might invest time in training or invest effort in a long-term project.

The term originates from Latin investire and Old French investir, meaning to clothe or equip. In legal or corporate reporting, the verb is used to describe actions by entities that allocate resources for expected benefits.

See also: investment, investor, diversification, risk management.