Definition, Meaning & Synonyms

reinvest

verb

/ˌriːɪnˈvɛst/

Definition

To invest again or invest additional funds into an asset or business.

Examples

After seeing success with his first investment, he decided to reinvest his profits into the same company.
The company plans to reinvest its earnings into research and development for new products.
Many investors choose to reinvest their dividends to maximize their investment growth.

Meaning

Reinvesting typically refers to the practice of using profits or returns from an investment to purchase more of the same asset, thereby compounding growth over time.