Investing Basics
What is the process of using your money to make more money?
Investing
What type of property is primarily used as a dwelling?
Residential Real Estate
What is the name of the marketplace where company shares are bought and sold?
Stock Market
What is the type of financing where a business sells part of its ownership to raise money?
Equity financing
What do we call the total amount of money borrowed to purchase the property?
Mortgage principal
What is the portion of a property's purchase price paid upfront in cash?
Down Payment
What do we call a bare piece of land intended for future construction?
Lot
Which type of share typically includes voting rights: common shares or preferred shares?
Common shares
What are the two disadvantages of debt financing?
will have debt, may have to provide personal credit for the loan
What does GIC stand for?
Guaranteed Investment Certificate
What is the term for ownership of a portion of a company?
Stocks
What is it called when someone buys property with the goal of quickly reselling it for profit?
Flipping Properties
What does the 52-week range of a stock represent?
What is the highest and lowest price of the stock in the past year
What is crowdfunding?
Raising small amounts of capital from many individuals online
What is the term for the length of time over which a mortgage is paid?
Mortgage amortization
What term refers to how easily an investment can be bought or sold without affecting its price?
Liquidity
What type of real estate is used for the resale of goods and services?
Retail
What is the NYSE?
What is the New York Stock Exchange, a marketplace for buying and selling stocks
What is the type of financing where a firm borrows to obtain financial capital?
In a buyer’s market, is there more demand or supply?
More supply than demand
What is the expected financial gain or loss from an investment?
Expected Return
What does the legal term “title” refer to in property ownership?
What are mutual funds that pool money to buy many bonds called?
Bond mutual funds
What type of investor provides funding in exchange for ownership in early-stage companies?
Angel investor
Mitchell buys a $500,000 home and pays 20% down. What is the value of the mortgage?
$400,000