What context can I use each word in?
Learn when and how to use these words with these examples!
investor
Example
The investor was looking for a high return on his investment. [investor: noun]
Example
She invested in the stock market to grow her wealth. [invested: past tense verb]
shareholder
Example
As a shareholder, he was entitled to vote on the company's board of directors. [shareholder: noun]
Example
She became a shareholder in the company by buying its stocks. [shareholder: noun]
Good things to know
Which word is more common?
Investor is a more general term and is commonly used in various contexts related to finance and business. Shareholder is a more specific term and is typically used in the context of owning stocks or shares in a company.
What’s the difference in the tone of formality between investor and shareholder?
Investor and shareholder are both formal terms used in business and finance. However, shareholder may be considered more formal since it is a legal term and refers specifically to ownership in a company.