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What is a “security”?
September 27, 2007 in Investing Basics
(This post is a part of the series on Basics of Finance and Investing.)
Merriam-Webster Online Dictionary
defines the word security as “the state of being secure”. Then further down, “an instrument of investment in the form of a document (as a stock certificate or bond) providing evidence of its ownership”. These two definitions are not unrelated. A security is an investment instrument that is supposed to secure your financial future.
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