Are investors and shareholders the same?

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Triplett 0 Comments

Are shareholders and investors the same thing or how do they differ? I think that shareholders are considered investors that have invested in a company.

1 Answer

score 0 · Answer 1 · 2012-12-02T18:49:05+00:00

Investors is a broader term. Shareholders are investors but an investor is not necessarily a shareholder.

For example, the bank that provides funding is essentially an investor since it invests in our project but it does not hold any shares so the bank is not a shareholder.