Stock Market
What is the stock market
What is an exchange mechanism that helps investors buy and sell shares in publicly traded companies.
A share of the value of a company, which can be bought, sold, or traded as an investment and which gives the investor small partial ownership of the company.
What is a Stock
A security in which the investor loans money to a company or government.
What is a Bond
To diversify across investments means.
What is spreading your investments within an asset class around (ex. Spread stocks across multiple different stocks or fund, variety of stocks).
Buy ____, Sell ____
What is Low; High
A bull market is when stock prices?
What is when stock prices rise.
Money from the profits of a company that is paid out to its shareholders, typically on a quarterly basis.
What are Dividends
A measurement of the likelihood that a bondholder will be paid back
What is Bond Rating
Which value on an R-Squared scale represents when each data point is well explained by the trend line.
What is the value r2= 1.
In terms of time, the difference between Trading and Saving.
What is -
Trading: Short-Term
Investing: Long-Term
When a company goes public for the first time they offer this.
What is an IPO - Initial Public Offering
When a company divides its stock into multiple shares, effectively lowering the price of each share without changing the company's market value.
What is a Stock Split
This occurs when interest rates rise for bonds.
What is Prices of bonds decrease.
A high standard deviation of a stock or bond's price means.
What is -
A high volatility.
Data points are more dispersed.
A guideline, which is a simple way to figure out what percentage of your portfolio should be kept in stocks.
What is the Rule of 110
America's largest physical stock exchange.
What is the NYSE (New York Stock Exchange)
A portion of an equity stock that is less than one full share
What is a Fractional Share
Total Return anticipated on a bond if held until maturity.
What is Yield to Maturity
What is invest small amounts over long periods of time.
Dollar-Cost Averaging.
A phenomenon where a real or potential loss is perceived by individuals as psychologically or emotionally more severe than an equivalent gain.
What is Loss Aversion
The Great Recession was in caused by (multiple right answers).
Failure on the part of the government to regulate the financial industry.
Next, too many financial firms took on too much risk.
Excessive borrowing by consumers and corporations.
Housing Bubble
How much a company is worth as determined by the total market value of all outstanding shares.
What is Market Capitalization (Cap).
This pledges specific assets to bondholders if the company cannot repay the obligation. This asset is also called collateral on the loan.
The three main Rating Agencies are who.
Who are Moody's, Standard & Poor's, and Fitch.
Chance to draw a Royal Flush in a game of 5-card Poker.
What is 649,739 to 1.