Personal Finance
A plan that helps individuals manage their income and expenses.
What is a budget?
A share of ownership in a company
What is a stock?
This is a type of tax levied on an individual's income by the government.
What is income tax?
Unauthorized use of personal information
What is Identity Theft?
The amount of money left after taxes and deductions have been taken out of your paycheck.
What is net income?
An investment pools money from many investors to purchase a diversified portfolio of stocks, bonds, or other securities.
What is a mutual fund?
This tax is charged on the purchase of goods and services and is typically included in the sale price.
Use of confidential information about a company to make trades in the stock market for personal financial gain.
What is Insider Trading?
Financial goals that are planned for a period longer than five years.
What are long-term financial goals?
This is the strategy of reducing risk by investing in a variety of assets.
What is diversification?
This type of tax is assessed on the value of an individual's property, including real estate, and is often used to fund local government services.
What is property tax?
Theft or misappropriation of assets by an individual who was entrusted with them.
What is embezzlement?
This type of loan is used to purchase real estate and is paid back with interest over a set period of time.
What is a mortgage?
This term refers to the profit earned from selling an asset for more than its purchase price.
What is a capital gain?
This type of tax is assessed on profits made from the sale of assets or investments and is calculated based on the difference between the purchase price and the selling price.
What is capital gains tax?
A fraudulent investment scheme where new investors capital is used to pay earlier investors returns.
What is a Ponzi Scheme?
This is a strategy/rule of allocating a portion of income towards savings, needs, and wants.
What is the 50/30/20 rule?
This type of investment fund typically employs a wide range of strategies, including leverage, short-selling, and derivatives, and is often open only to accredited investors.
What is a hedge fund?
This tax is often included in the price of specific goods and is used by governments to discourage the consumption of harmful products, such as cigarettes and sugary drinks.
What is excise tax?
Fraudsters often use this illegal scheme to inflate the price of a stock artificially and then sell off shares when the price is high.
What is the pump and dump scheme?