Stocks/Bonds
This refers to a loan given to a business or government from a private entity.
What is a bond?
This is the term for a group of stocks and/or bonds bought together as a singular investment.
What is a mutual fund?
Morgan Housel says that every person has to deal with these two topics in their lives.
What is health and money?
This term refers to when more money is withdrawn from a bank account after the account reaches zero.
This is the collateral on a mortgage.
What is the property?
This is the payment that shareholders get from companies they are invested in.
What is a dividend?
These are specific types of mutual funds that simply track an index.
What is an index fund?
According to JL Collins, this always goes up.
What is the market (or stock market)?
This is what APR stands for.
What is Annual Percentage Rate?
This is the ticker symbol for GameStop.
What is GME?
These are the two ways we discussed in class to make money in the stock market.
What are dividends and capital gains?
This is the primary fee associated with mutual fund investing.
What is expense ratio?
JL Collins says people focus too much on the foam when they should be concerned with this.
What is the beer?
Payment history makes up this much of your overall credit score.
What is 35%?
Fidelity and Vanguard are types of these financial institutions.
What are brokerages (or brokerage firms)?
This term refers to prolonged periods of rising stock prices and investor optimism.
What is a bull market?
This is the specific ticker symbol that JL Collins recommends you invest in through Vanguard.
What is VTSAX?
Morgan Housel says it is impossible to become wealthy without a positive one of these.
What is savings rate?
These are the three major credit reporting agencies.
What are Equifax, Experian, and Transunion?
This is what FICO stands for.
What is Fair Isaac Corporation?
This is the term for the total number of shares of a company multiplied by the current market value of that company.
What is market capitalization?
Nvidia makes up about 7% of an S&P 500 index fund right now despite being only one of those 500 companies. That is because most index funds share this characteristic.
What is they are weighted (or weighted average)?
In the 7th chapter of Psychology of Money, Morgan Housel discusses this psychological term that relates to people not enjoying tasks as much if they are not being done by their own free will.
What is reactance?
These are the two least important factors that make up a credit score.
What are credit mix and recent credit activity?
This 2015 movie about several people who bet against the housing market shortly before its collapse features actors Steve Carell, Christian Bale, Ryan Gosling, and Brad Pitt.
What is The Big Short?