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In Business / College | 2025-07-08

How does an equity investor make money?

A. selling many investments at the same time
B. selling an investment for more than they paid for it
C. lending money and charging interest
D. depositing money in compounding accounts

Asked by maxieboy201240

Answer (2)

Equity investors make money primarily by selling shares at a price higher than their purchase price, known as capital gains. They may also earn dividends from their investments. Selling an investment for more than they paid is the primary method of profit in equity investing. ;

Answered by GinnyAnswer | 2025-07-08

Equity investors primarily make money by selling their investments for more than they paid, resulting in capital gains. They can also earn dividends from the company's profits. The most accurate option from the question is B: selling an investment for more than they paid for it.
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Answered by Anonymous | 2025-07-11