Thomas Dalton wrote:
On 17/11/2007, Ray Saintonge saintonge@telus.net wrote:
Thomas Dalton wrote:
Being able to fund activities off capital gains would be very useful, but really it requires large endowments to work. Building up a fund from small fundraisers isn't going to work.
Capital gains are not a reliable investment, especially not in the short term. Short term capital gains are mostly a matter of good luck.
Putting the cash in a savings account still constitutes capital gains. The term doesn't refer just to risky investments.
Money put into a savings account yields interest income, not capital gains.
A capital gain is the increase in the value of an asset. When the market value of a company's share increases from its original cost that is a capital gain. When you sell a piece of land for more than you paid for it without having altered it since you bought it, that is a capital gain. If these values go down, it is a capital loss.
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