Definition

Any possession of significant worth that can be converted into cash according to its value

Terminology

  • Financial asset
    • contractual claim to something of value (future cash flows, equity, Stocks, bonds, mutual funds, and ETFs)
  • Personal asset
    • items of present/future value owned by an individual or household
    • Cash, land, investments, personal property (vehicles, jewelry, etc)
  • Business asset
    • Capital goods: Material items such as machinery, buildings, and equipment used in the production of other goods and services
  • When investing there are many assets to choose from: Stocks, Bonds, Real Estate, Cryptocurrency, Precious metals, Art, Collectibles, etc