Which distinguishes and ETF from a mutual fund?
-ETF prices are higher
-ETF's are traded like individual stocks
-ETF's are not regulated
ETF's are traded like individual stocks
What type of bond is it: the government borrows and uses tax revenue to pay the investors
Municipal Bond
What do you call the ratio of money gained or earned on investment?
Return on Investment (ROI)
Which statement is the most useful/informative?
"The Dow lost 71 points today."
"The Dow was down about three tenths of a percent today."
"The Dow was down about three tenths of a percent today."
GIVE ME PERCENTS!
The term for an asset losing value over time:
depreciation
____________ is the value of an asset minus any debt on that asset (begins with an "e")
equity
What are two characteristics of mutual funds?
-basket of stocks, spreads risk, priced at end of day, professionally managed, has fees
What is the name for 401k,
Social Security, Traditional IRA- pre tax &
Roth IRA- post tax?
Retirement Plans
Catch all term for all investments including stocks, bonds, mutual funds, ETFs, options, and commodities?
securities
What are the three C's of credit?
Character
Capacity
Collateral
What happens to stock in a bull market?
rising prices
The term for all of someone's investments:
Investment Portolio
What is it called when the economy is growing, unemployment is declining, inflation is stable:
peak ** trough ** expansion ** recession
expansion
Its the average price index of 30 selected industrial stocks, used as a measure of general market trends?
Dow Jones Industrial Average
Which is the least liquid investment?
stock, CD, bond
bond
What happens to stock in a bear market?
declining prices
What is called when you spread your money out in order to manage risk?
Diversification
A share of ownership in a corporation, which can be preferred or common:
stock
What is America's largest electronic stock market? Many technology stocks such as Apple, Microsoft and Yahoo are traded on this exchange.
NASDAQ
What is it called when the amount of money spent is more than the amount of money collected?
A Deficit
T/F: Bonds are generally safer than stocks
FALSE
What you earn from stock and it's normally paid quarterly?
Dividends
What is the world's largest Stock Exchange and it is located on Wall Street!
The New York Stock Exchange
What tracks the prices of 500 different stocks as a measure of overall stock market performance?
S & P 500
What is it called, when the amount of money collected is more than the amount of money spent?
Surplus