Stocks
A share of ownership in a company
Stock
A loan made by an investor to a borrower (typically corporate or governmental)
Bond
An investment vehicle made up of a pool of money collected from many investors to purchase securities.
Mutual Fund
A payment made by a corporation to its shareholders
Dividend
A period of rising stock prices
Bull market
What happens to a stock price when a company performs well
It increases
When the bond reaches its due date for repayment
Maturity
Spreading investments across various assets to reduce risk
Diversification
How often dividends are usually paid
quarterly
A period of declining stock prices
Bear market
A marketplace where stocks are bought and sold
Stock market
The form of income a bond generates for investors
One of the main types of mutual funds
Equity funds
a company has a high dividend yield if it pays a large dividend relative to this
its stock price
A common investor strategy during bear markets
sell off stocks
stock that usually gives voting rights
Common Stock
bonds are issued by companies
Corporate Bonds
The other main type of mutual funds
Bond Funds
How cash dividends are paid
in cash
The acronym NYSE stands for this
New York Stock Exchange
stock that has a fixed dividend
Preferred stock
The risk that the issuer will default on payments
Credit Risk
the fees associated with mutual funds
expense ratios
How stock dividends are paid
in stock
The acronym NASDAQ stands for this
National Association of Securities Dealers Automated Quotations