Budgeting
Money left after taxes
Net income
Three-digit number showing creditworthiness
credit score
Owning part of a company
stock
A market with rising prices (bear or bull)
bull market
A company’s total sales
revenue
Plan for how you will spend your money
budget
Ideal credit utilization under this percent
30%
Investment that tracks an index
ETF or index fund
A market with falling prices (bear or bull)
bear market
Revenue minus expenses
profit or net income
Spending more than you earn leads to this
debt
Largest factor in your credit score
payment history
Strategy: Don’t put all eggs in one basket
diversification
Announcement that moves markets every quarter
earnings report
When a company sells shares to the public for the first time.
IPO Initial Public Offering
Budgeting Method Rule: dividing income into needs, wants, and savings
50/30/20 rule
Name of the interest rate on a credit card
APR
Growth on growth over time
compound interest
Central bank of the United States
Federal Reserve
Bank that helps companies raise capital.
investment bank
Give an example of opportunity cost (potential profit provided by a missed opportunity)
..
Opening many new accounts can lower this
credit score
The __ the risk, the __ the return
higher / lower
When investors sell in panic, this can happen
market crash
Company borrowing money by issuing this
bond