Important Factors in Personal Investment (Page 584)
Factors That Can Improve Your Investment Decisions (Page 586)
More Speculative Investments (Page 591)
Random
100
The differences between the value of your total assets and your total liabilities.
Total Assets - Total Liabilities =
What is net worth?
100
The minimal risk of loss when investing.
What is safety?
100
An index that contains 500 different stocks that reflect increases or decreases in value for the U.S stock market as a whole.
What is Standard & Poor's 500 Stock Index
100
A dividend in the form of additional stock. Paid to shareholders just as cash dividends are paid- in proportion to the number of shares owned.
What is stock dividend?
100
This pools the money of many investors- its shareholders- to invest in a variety of different securities.
What is a mutual fund?
200
A specific plan for spending your income.
What is personal budget?
200
The measure of uncertainty about the outcome when investing.
What is risk?
200
The process of spreading your money among several different types of investments to lessen risk.
What is asset allocation?
200
The difference between a security's purchase price and its selling price.
What is capital gain?
200
A fund that generally invests in the stocks or other securities contained in a specific stock or securities index.
What is an exchange traded fund?
300
The use of your personal funds to earn a financial return.
What is personal investment
300
A SAFE investment that generally attracts conservative investors.
What is a blue-chip stock?
300
Two conservative investment alternatives?
What are bank accounts and corporate and government bonds?
300
The price of one share of a stock at a particular time.
What is market value?
300
Buying a stock ith the expectation that it will increase in value and then can be sold at a profit.
What is buying long?
400
Someone with 2+ years of training in investments, insurance, taxation, retirement planning, and estate planning and has passed rigorous examination.
What is a financial planner?
400
Total dollar amount of return you receive on an investment over a specific period of time divided by the amount invested.
total amt of return / amount invested
What is the rate of return on an investment?
400
What is the minimum purchase for each type of U.S government security bond? (Excluding savings bonds)
What is $100?
400
The division of each outstanding share of a corporations stock into a greater number of shares.
What is a stock split?
400
The process of selling stock that an investor does not actually own but has borrowed from a brokerage firm and will repay at a later date.
What is selling short?
500
An average of 30 leading US corporations that reflect the U.S stock market as a whole.
What is Dow Jones Industrial Average?
500
the ease with which an investment can be converted into cash.
What is liquidity?
500
A debt security issues by a state or local government.
What is a municipal bond?
500
List the types of mutual funds.
What is open-end funds, closed-end funds, exchange-traded funds.
500
A detailed, written description of a new security, the issuing corporation, and the corporation's top management.