Stocks
This item refers to a share in the ownership of a company.
What is a stock?
Mutual funds pool money from these individuals to invest in stocks, bonds, or other assets.
Who are investors?
Bonds are also known as these, referring to their role as fixed- income investments.
What are debt securities?
This financial product is a time deposit offered by banks that pays interest over a fixed term.
What is a Certificate of Deposit?
This type of bank account is designed for storing money securely while earning interest.
What is a savings account?
This term is for a stock that is expected to grow at an above-average rate.
What is growth stock?
The price at which you can buy or sell a mutual fund share, calculated daily.
What is the net asset value?
This is the term for the amount a bondholder is paid back when the bond matures.
What is the principal or face value?
Withdrawing funds from a CD before the maturity date usually incurs this type of penalty.
What is an early withdrawal penalty?
The federal regulation that limits certain withdrawals from savings accounts to six per month is called this.
What is Regulation D?
This term is for the money you lose when you sell a stock for less than you paid for it.
What is a capital loss?
These funds distribute this type of payment to investors, often derived from stock dividends or bond interest.
What is income?
This type of bond is issued by companies and usually carries a higher risk than government bonds.
What are corporate bonds?
This type of CD allows you to withdraw your funds before maturity without penalties, though it may have lower interest rates.
What is a no- penalty CD?
This term refers to the percentage of your savings balance that a bank pays you as interest.
What is the annual percentage yield (APY)?
This term has a high risk level.
What is stock?
What is a balanced fund?
A bond's periodic interest payments are known by this term.
What is a coupon?
This feature of a CD determines how frequently interest is calculated and added to the balance, impacting total earnings.
What is compounding?
Unlike checking accounts, savings accounts usually do not include this payment feature.
What is a debit card (or check-writing ability)?
This occurs when a company divides its existing shares into multiple shares to boost the liquidity of the shares.
What is a stock split?
A fund focusing on companies with above-average growth prospects is classified as this type.
What is a growth fund?
This relationship between bond prices and interest rates can be described as this.
What is inverse?
This government agency insures certificates of deposit in banks, protecting your deposits up to $250,000 per account.
What is the FDIC(Federal Deposit Insurance Corporation)?
This type of savings account earns a higher interest rate but often requires a higher minimum balance.