The-definition.com

Definition

Accumulation

Accumulation is in the context of corporate finance, refers to profits that are added to the capital base of the company rather than paid out as dividends.

In the context of investments, accumulation refers to the purchase by an institutional broker of a large number of shares over a period of time in order to avoid pushing the price of that share up.

In the context of mutual funds, accumulation refers to the regular investing of a fixed amount while reinvesting dividends and capital gains.

Webster Dictionary Meaning

1. Accumulation
- The act of accumulating, the state of being accumulated, or that which is accumulated; as, an accumulation of earth, of sand, of evils, of wealth, of honors.
- The concurrence of several titles to the same proof.
Share it:  Cite

More from this Section

  • Insurance
    Insurance is a means of protection from financial losses due to fire, theft, and other ...
  • Securitization
    Securitization is the process of transformation of a bank loan into tradable securities. ...
  • Political Risk
    Political Risk is the possibility that political events in a particular country will have ...
  • Money purchase plan
    Money purchase plan is a defined-contribution retirement plan in which each participant ...
  • Mutual funds
    Mutual funds is the investment companies that attract savings from the public and invest ...