Capital Appriciation

Capital appreciation refers to the increase in the value of an asset or investment over time. This growth is typically realized when the asset is sold for more than its original purchase price, resulting in a profit for the investor. Capital appreciation is a key goal for investors, particularly in real estate, stocks, and other long-term investments, as it represents a growth in wealth. Factors that contribute to capital appreciation include economic conditions, market demand, and the asset’s inherent value, making it an essential aspect of investment strategies focused on growth.