Investing
A security that represents the ownership of a fraction of an issuing corporation.
What is a stock?
A loan that lasts more than 10 years.
What is a long term loan?
Examples of this type of expense include mortgage/rent, insurance, real estate taxes, and vehicle registration.
What are fixed expenses?
The percentage of a loan amount that will be paid by the borrower annually in addition to paying the loan principal.
What is simple interest?
A request for your bank to pay another party from funds in your account.
What is a check?
A precious metal invested in through physical possession or exchange traded fund.
What is gold or silver?
A number that estimates how likely you are to repay debt and pay bills.
What is a credit score?
Examples of this type of expense include groceries, wireless telephone, electric, heating oil/gas, and gasoline.
What are flexible/variable expenses?
A way to measure your financial health by subtracting the total of your liabilities from the total value of your assets.
What is net worth?
This happens when you write checks for more money than is in your account.
What is an overdraft?
A debt security that allows an entity to borrow money from investors in exchange for interest payments and the eventual repayment of the principal.
What is a bond?
The process of paying off a debt over time in equal installments.
What is amortization?
Using these reduce your grocery bill, which is one way to help lower your monthly flexible/variable expenses.
What are coupons?
A general increase in the price of goods and services over time.
What is inflation?
Every spending plan should be this.
What is realistic?
A stock market index of 30 prominent companies listed on stock exchanges in the United States.
What is the Dow Jones Industrial Average?
Define APR.
One of the ways (relating to time) that expenses occur.
What is monthly, annually, quarterly, periodically, etc..?
A measure of how easily an asset can be converted into cash, or how quickly an obligation can be settled without incurring significant losses.
What is liquidity?
The limit of money deposited in a bank that is insured by the FDIC.
What is $100,000.00?
A downward trend in financial markets, indicating a weakening economy and a loss of investor confidence.
What is a bear market?
What credit card company adopted a gladiator or centurion into their logo in 1958? Although the image has taken less prominence in the brand over time, it still appears on the company's traveler's cheques, charge cards and credit cards.
What is American Express?
A financial accounting method that records revenues and expenses when they occur, regardless of when cash is exchanged.
What is accrual accounting?
An investor's willingness and ability to accept the possibility of losing some or all of their investment in exchange for the potential to earn greater returns.
What is risk tolerance?
A tax-deferred real estate investing strategy that allows investors to defer capital gains taxes on the sale of an investment property by purchasing a similar property.
What is a 1031 exchange?