Financial
What is the difference between a stock and a bond?
A stock represents ownership in a company, while a bond is a loan made to a company or government that pays interest over time.
What is “home equity loan”?
A home equity loan is a loan that uses the borrower’s home as collateral, typically for purposes like home improvements or consolidating debt.
What caused the 2008 Financial Crisis?
The 2008 financial crisis was caused by the collapse of the housing market, risky lending practices, and the subsequent failure of major financial institutions.
Why is green ink used to print US bills?
It’s nearly impossible to counterfeit.
What was the first metal used as currency?
Gold
What is a mutual fund?
A mutual fund is a pool of funds collected from many investors to invest in a diversified portfolio of stocks, bonds, or other assets.
What is “leverage”?
Leverage refers to the use of borrowed funds to increase the potential return on investment.
What is “value investing”?
Value investing involves picking stocks that appear to be undervalued based on fundamental analysis, with the expectation that their price will rise over time.
When did Bitcoin launch?
2009
What is the official currency of Japan?
Yen
What is the “debt snowball method”?
The debt snowball method is a strategy where an individual pays off debts from smallest to largest, gaining momentum as each balance is paid off.
What is a “blue-chip stock”?
A blue-chip stock is a stock from a well-established and financially stable company with a history of reliability and solid performance.
What is “growth investing”?
Growth investing involves selecting stocks of companies that are expected to grow at an above-average rate compared to other companies
What is the most valuable currency in the world as of 2024?
Kuwaiti dinar.
What currency does Switzerland use?
Swiss Franc
What is a “1099” form?
A 1099 form is used to report income from sources other than employment, such as freelance work or investment income.
What is a “bear market”?
A bear market is a financial market in which the prices of assets are falling or are expected to fall.
What is a “stock split”?
A stock split occurs when a company issues more shares to shareholders, increasing the number of shares while decreasing the stock price proportionally.
What is the oldest currency still in use today?
British pound sterling.
Which country’s currency is called the “baht”?
Thailand.
What does “FDIC” stand for?
FDIC stands for Federal Deposit Insurance Corporation, which insures deposits in U.S. banks up to $250,000 per depositor.
What is “compound interest”?
Compound interest is the interest on both the initial principal and the accumulated interest from previous periods.
What does “liquidity” refer to in finance?
Liquidity refers to how easily an asset can be converted into cash without affecting its price.
What is the term for assets minus liabilities?
Net worth.
What is the nickname for Canadian currency?
Loonie (for the one-dollar coin).