Risikokapital
Example: Viele Start-ups suchen Risikokapital für ihre ersten Projekte.
Definition
Risikokapital refers to funds invested in new or emerging companies with high growth potential but also high risk. It is typically provided by investors willing to accept the possibility of losing their investment in exchange for significant returns if the company succeeds.
Etymology
The word "Risikokapital" comes from the German words 'Risiko' meaning 'risk' and 'Kapital' meaning 'capital' or 'funds.' It literally means 'risk capital,' highlighting the nature of this type of investment as money put at risk to potentially achieve profit.
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"Risikokapital" appears in the Vocaplus list "German - Finance - (A1-C2) - set 1", containing 150 commonly used words.
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