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Reinvesting: meaning, definitions and examples

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reinvesting

 

[ ˌriːɪnˈvɛstɪŋ ]

Verb
Context #1 | Verb

financial context

Reinvesting refers to the process of putting earnings back into an investment rather than cashing them out. This action can lead to compound growth over time as the reinvested funds generate additional returns. It is a common strategy among investors to maximize their investment portfolios.

Synonyms

plowing back profits, reallocating, reinvesting profits

Examples of usage

  • She decided to reinvest her dividends in the stock market.
  • Reinvesting profits can significantly increase your wealth over the long term.
  • Many retirees opt to reinvest their retirement funds.
  • The company announced plans for reinvesting profits into new projects.

Translations

Translations of the word "reinvesting" in other languages:

🇵🇹 reinvestindo

🇮🇳 पुनर्निवेश

🇩🇪 Reinvestition

🇮🇩 investasi kembali

🇺🇦 реінвестування

🇵🇱 reinvestowanie

🇯🇵 再投資

🇫🇷 réinvestissement

🇪🇸 reinversión

🇹🇷 yeniden yatırım

🇰🇷 재투자

🇸🇦 إعادة استثمار

🇨🇿 reinvestice

🇸🇰 reinvestícia

🇨🇳 再投资

🇸🇮 reinvestiranje

🇮🇸 aftur fjárfesting

🇰🇿 қайта инвестиция

🇬🇪 გადამხდელობა

🇦🇿 yenidən sərmayə qoyma

🇲🇽 reinversión

Etymology

The word 'reinvesting' combines the prefix 're-' meaning 'again’ with ‘investing,’ which comes from the Latin 'investire' meaning ‘to clothe’ or ‘to put on.’ Historically, 'invest' originally referred to the act of dressing or putting something on, which evolved to mean allocating resources, especially money, for a profit. The specific term 'reinvesting' likely became prominent in financial literature in the 20th century as economic theories about growth and investment practices developed. The concept has gained traction among investors as a strategic method to improve returns over time, emphasizing the importance of compound interest and wealth accumulation.

Word Frequency Rank

This word's position of #34,152 indicates it's among the more rare English words. While understanding it broadens your vocabulary, focus on more common words first.