Definition

Putting too much money or resources into a specific area or project, often leading to negative consequences.

Example

The company's overinvestment in marketing led to financial losses instead of increased sales.

Conversation

Have you heard about the overinvestment in tech stocks lately?

Yeah, it seems like everyone is putting their money there.

It's risky because too much overinvestment could lead to big losses.

Exactly! It's better to diversify and not put all your eggs in one basket.

Synonyms & Antonyms

Root Explanation

Overinvestment → It is formed from "over-" (meaning excessively) and "investment" (from Latin "investire", meaning to clothe or put on). The word refers to the act of excessively putting resources into something, often beyond what is necessary or prudent.

Memory Tip

Think of putting resources 'excessively' ('over-') into something you are 'clothing' or 'putting on' ('investing'). This helps you remember that overinvestment means putting too much into an investment.

Visually Confused Words