Terms
Terms, Part II
Stocks
Numerical
Odds and Ends
100
All of the investments-stocks, bonds, mutual funds, options, and commodities- that are bought and sold on the stock market
What is securities.
100
A company that issues stock to a small group of people.
What is a private corporation
100
Stock that is considered a safe investment that generally attracts conservative investors. (ie... AT&T and GE)
What is blue-chip stock
100
The annual dividend of an investment divided by the current market value.
What is current yield.
100
Income from dividends
What is a reason why investors purchase common stock
200
Market condition that occurs when investors are optimistic about the economy and buy stocks
What is bull market.
200
Corporation that sells its shares openly in stock markets, where anyone can buy them
What is a public corporation
200
Stock from a corporation that has issued a large number of shares of stock and has a large amount of capitalization.
What is large-cap stock
200
Corporation's net, or after-tax, earnings divided by the number of outstanding shares of common stock.
What is earnings per share.
200
CNN
What is a type of source for evaluating stocks.
300
Network of dealers who buy and sell the stocks of corporations that are not listed on a securities exchange
What is over-the-counter (OTC) market
300
The total amount of stocks and bonds issued by a corporation
What is capitalization
300
Stock that remains stable during declines in the economy.
What is defensive stock.
300
Price of one share of stock divided by the corporation's earnings per share over the last 12 months.
What is price-earnings (PE) ratio.
300
Request to buy or sell a stock at the current market value.
What is market orders.
400
A collection of all the securities held by an investor.
What is a portfolio
400
A marketplace where brokers who represent investors meet to buy and sell securities
What is a securities exchange.
400
Stock that has a market value that tends to reflect the state of the economy.
What is cyclical stock.
400
A calculation that includes the annual dividend as well as any increase or decrease in the original purchase price of the investment.
What is total return.
400
Request to buy or sell a stock at a specified price.
What is limit order
500
An assigned dollar value that is printed on a stock certificate.
What is par value.
500
stock that is issued by a corporation whose potential earnings may be higher than the average earnings predicted for all the corporations in the country.
What is a growth stock.
500
Stock that pays higher-than-average dividends compared to other stock issues.
What is income stock.
500
Market condition that occurs when investors are pessimistic about the economy and sell stocks.
What is bear market.
500
Type of limit order to sell a particular stock at the next available opportunity when the market price reaches a specified amount.
What is a stop order
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