Short-Term Investments
/ˌʃɔrtˈtɜrm ɪnˈvɛstmənts/
Definitions
- (n.) Assets held by a business or individual for a short duration, usually under one year, intended to be quickly converted into cash, often including marketable securities.
The company listed its short-term investments separately on the balance sheet to indicate liquidity.
Forms
- short-term investments
- short-term investment
Related terms
See also
Commentary
Short-term investments are distinguished from long-term investments by their liquidity and holding period; clarity about term length is crucial in financial reporting and legal contracts.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.