Trade Terminology
A partial ownership in a company, offering a claim on its earnings and assets
What is a Stock
This term means spreading money across different investments to reduce risk.
What is Diversification
This investment pools money from many investors to buy a diversified group of stocks, bonds, or other assets.
What is a Mutual fund?
This emotion often fuels market crashes when investors rush to sell.
What Is Investor Fear?
this describes what Mr. Baker puts in his coffee.
What is Nothing?
where you (the investor) lend money to an entity (like a government or corporation) for a set period, and in return, the issuer promises to pay you regular interest (dividends) and return your principal (face value) at a specific maturity date
what is a bond
This happens when too much money is invested in one stock or sector.
What is overconcentration/ oversizing positions?
This stock index tracks the performance of 500 of the largest publicly traded U.S. companies and is often used to measure the overall market.
What Is the S & P 500?
This term describes a sudden, sharp drop in stock prices caused by panic selling.
What is A Market Crash?
"I need to run to the water fountain" says henry, Mr. Bakes response ...
What is "Id perfer you Walk"?
OKLO, AAPL, MSFT are all examples of this is a unique, short code (usually letters, sometimes numbers) that identifies a publicly traded company or security.
What is a Ticker?
This type of asset often helps reduce portfolio volatility by providing steady gains
What Are Bonds
This type of stock is expected to grow faster than the overall market.
What is a Growth Stock
This happens when stock prices rise quickly over a short period of time.
What is a Market rally?
Every Thursday night you can find Mr. Baker enjoying steak and soup at this Local Haunt
What is "The Silver Spoon" ?
The act of borrowing shares, selling them at the current high price, and hoping to buy them back later at a lower price to return to the lender, profiting from the price drop; it's essentially betting a stock's price will fall
What is A Short (Buy)?
non-correlated assets/stocks
What are assets/stocks that do not move the same way at the same time.
This stock market index is known for its heavy focus on technology companies and includes many growth stocks.
What is the Nasdaq/ Nasdaq-100?
This forms when stock prices rise far above their true value due to hype and speculation.
What is a bubble?
This weekday, that is also hated by Americas favorite cartoon cat, allows students who stay after three times to earn 15 extra credit points and have their lowest grade dropped.
What is Monday?
In the stock market, this numeric value measures a stock's volatility or systematic risk compared to the overall market.
Hint if this number is < 1 the stock is less volatile.
What is beta (β)
What is a rule that says how much one stock should affect your portfolio.
This stock market index tracks about 3,000 U.S. companies and is used as a "Litmus Test" as it represents nearly the entire U.S. stock market.
What is the Russel 3000?
This early-2000s market crash happened when internet company stocks collapsed after being driven up by hype and unrealistic expectations.
What is the dot com crash
In his college days this method of telecommunication is where you could find Mr. Baker from 11PM-1AM Friday and Saturday Nights.
+500 Bonus Points If you can remember the name of the show
Radio
+ 500 for "THE SEWER"