Investments
Risky vs. Safe Stocks
Compounding Interest
Terms
Strategies & Diversification
100

Are collectibles a high-risk investment?

Yes. They are very high-risk.

100

What type of investment, like speculative stocks or crypto, can give you big gains but also come with big risks?

High risk, High reward

100

What is it called when your money earns interest, and then that interest also earns interest over time?

Compound Interest

100

Is it better to have a Bull market or a Bear market? 

A Bull Market

100

What investment strategy is all about picking stocks that could go up a lot, even if they sometimes go up and down a lot too?

Seeking high-potential (or volatile) stocks.

200

What is another name for penny stocks?

Spec Stocks

200

If you want your money to grow slowly and steadily, what might you choose these kinds of investments, like blue chip stocks, CDs, or bonds?

Low risk, Slow reward.

200

Starting to invest early is usually more powerful than investing a lot of money later in life because?

Compounding has more time to work and grow your money.

200

What are Dividends? 

Money that companies pay to their shareholders.

200

Which strategy means buying companies that are worth more than their current price, hoping their value goes up?

Value investing (or value buying).

300

What type of investment is quick, easy, and doesn't require a bank to use?

Crypto

300

What kind of stock is considered safer and belongs to well-known, stable companies?

Blue chip stocks.

300

What does the saying mean it's better to leave your money invested for a long time than to try and guess the best times to buy or sell?

Time in the market beats timing the market.

300

Which of the following is most liquid? A) Real estate, B) Cash on hand, C) Inventory.

Answer is B. cash on hand.

300

If you want regular payments from your investments, which two might you focus on?

Dividends and bonds.

400

If you put money into a savings account and leave it there, what happens to your money over time?

Builds up interest.

400

What savings tools are offered by banks that usually have low risk and fixed interest over time?

CDs (Certificates of Deposit).

400

What is the term used to describe when your money grows like a snowball, getting bigger and faster the longer it rolls?

Exponential growth

400

Who is considered an insider within insider trading?

Anyone who is allowed to see private information.

400

Which investing method copies the overall stock market by buying things like ETFs or mutual funds?

Index investing (or matching market performance).

500

What is this with your education that can pay off in the future by helping you get a better job or be more successful?

Investing in yourself (or your education).

500

When you invest, having more of what means there’s a bigger chance your money could go way up or way down?

Risks

500

If you want your money to grow the most with compounding interest, what is the most important thing you need to give it?

Time

500

What is it when someone buys or sells stocks using secret information that isn’t available to the public?

Insider Trading

500

What do you call it when you mix up different kinds of investments to lower your risk?

Diversification

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