Zerodha Broker (Free Delivery)

India's No. 1 Broker with Best Software Trade @ Flat Rs 20

Open Instant Account

Trading and Investment Terminology

Short term Investment

A short-term investment is also called a temporary investment or marketable security

It is a debt or equity security that is expected to be sold or converted into cash in the next 3 to 12 months.


Usually, these investments are high-quality and very liquid assets or investment vehicles like: 

  • Certificates of deposit, 
  • Money market accounts
  • High-yield savings accounts
  • Treasury bills.
  • Bond Funds
  • Municipal Bonds
  • Peer- to- peer lending
  • Roth IRA


Examples of investments that we are most familiar with the short term are:

  • Money markets
  • Savings accounts
  • Certificates of deposit
  • Treasury bills
  • Government bonds