capital appreciation

Capital appreciation refers to the increase in the value of an investment or asset over time. For example, if you buy a property or stock at a certain price and its value rises, you have experienced capital appreciation. This increase can result from market growth, improved company performance, or economic factors. Essentially, it represents the profit made when selling an asset for more than its original purchase price, contributing to overall wealth growth. Capital appreciation is a key goal for investors seeking to grow their investments over the long term.