When a company chooses to sell shares of stock to the public for the first time.
What is an Initial Public Offering (IPO)?
200
Money gained from jobs, chores, presents, allowance, investments, etc.
What is income?
200
A goal planned within 1 year of today.
What are short term goals?
200
The agency that regulates and monitors the stock market.
What is the Securities and Exchange Commission? (SEC)
200
The interest rate of a bond.
What is a coupon rate?
200
A fund that sells shares to investors in order to collect a pool of money that is then used to by various investments. A less riskier way to invest then buying a single common stock.
What is a mutual fund?
300
An expense that changes from one period to the next.
What is a variable expense?
300
Buying a house is an example of this.
What is a long term goal?
300
The concept of investing in multiple investments. "Not placing all your eggs in one basket"
What is diversification?
300
Interest payments on bonds.
What are coupon payments?
300
You bought 10 shares of Verizon for $20 a share, and a year later you sold the 10 shares for $28. This is how much money you made.
What is $80?
400
Rent, utilities, food, entertainment, etc.
What are expenses?
400
A goal planned between 1 to 5 years from today.
What is a middle term goal?
400
Each company has a specific abbreviation used to list its trading price in the stock exchange.
What is a ticker symbol?
400
A type of bond issued by the US treasury (Government).
What is a treasury bond?
400
You buy a bond for $1000, with a coupon payments of $75 each year. Calculate the coupon rate.
What is 7.5% coupon rate?
500
A projection of future expenses or income.
What is a forecast?
500
Graduating from college.
What is a middle term goal?
500
A standard against which a stock can be measured. Used to compare a stock to an index or similar investment.