Win-vesting Strategies
This type of investing involves trying to outperform the market.
What is active investing?
This term describes the process of dividing an investment portfolio among different asset classes like stocks, bonds, and cash.
What is strategic asset allocation?
This is something that should be taken into consideration when writing an investment policy statement and varies with someone's age.
What is time horizon?
Higher returns from a mutual fund come with this trade-off.
What is higher risk?
This type of account allows investments to grow tax-deferred until withdrawal.
What is a tax-advantaged account?
This strategy helps reduce risk by spreading investments across different stocks, instead of putting too much money into just one.
What is diversification?
This is a type of fixed income investment and also something that we have created while being in the MAC program.
What is a bond?
This is something you can determine by taking a questionnaire, having a conversation, or doing a psychometric test.
What is risk tolerance?
ETFs are traded on this type of marketplace.
What is the stock exchange?
Capital gains tax is typically lower for investments held beyond this time frame.
What is one year?
This low risk investing strategy involves having staggering maturity dates.
What is CD laddering?
This type of fund automatically adjusts its allocation over time to become more conservative as an investor nears retirement.
What is a target date fund?
This is an acronym for the type of goal you should have in investment policy statements and it is an adjective that describes us MAC students.
What is SMART?
This strategy is used for mutual funds where the fund manager attempts to outperform the market.
What is active management?
EFTs and index funds may be better in this type of account.
What is a taxable account?
This higher risk investment strategy is disliked by Bonnie and is impossible to predict.
What is market timing?
This is a potential characteristic of corporate bonds and also a type of car that does not have a top.
What is convertible?
An investment policy statement should involve someone's _______ towards investing and risk. This word also describes what someone has when they are in a bad mood.
What is attitude?
These are the two different features that a mutual fund can have and it involves sales commissions.
What are load and no-load?
Index mutual funds are far more tax efficient than actively managed funds because of lower ____.
What is turnover?
This was referred to as the “_________” and took place from 1999 to 2009.
What is the “Lost Decade”?
According to the SEC guide to rebalancing, this time-based method of rebalancing uses dates—like every six or twelve months—as reminders to adjust your investments.
What is calendar-based rebalancing?
This is a factor to take into consideration when developing an IPS and includes things like saving for a house or for your children's college.
What are goals?
ETFs start at this price per share.
What is $1?
This type of tax applies to profits from the sale of an asset held for less than a year, often taxed at a higher rate than long-term gains.
What is short-term capital gains tax?