Basics
Making Money
Miscellaneous
Making Trades
Categories
100
A share of ownership in a business.
What is stock?
100

A share of the profits paid out every quarter or every year, by corporations you are currently invested in.

What are dividends?

100

Primary form of stocks in a corporation.

What is common stock?

100
A central trading market where traders meet to buy & sell most stock.
What is a stock exchange?
100
Stocks in relatively new firms that don't have an established track record of success.
What are penny (speculative) stocks?
200
Putting your money to use in order to make money on it.
What is investing?
200
Selling stock for more than you paid.
What is a capital gain?
200
Class of ownership in a corporation that has a higher claim on the assets and earnings than common stock.
What is preferred stock?
200

DAILY DOUBLE: INVESTMENT PRODUCTS

What is an ETF and how does it differ from a traditional stock?

200
Stocks in well-established companies that have a good track record.
What are blue-chip stocks?
300
To raise money to start up their businesses and then to help pay for ongoing activities
Why do companies issue stock?
300
Selling stock for less than you paid.
What is capital loss?
300
Imaginary portfolio of securities representing a particular market, such as the Dow Jones Industrial Average.
What is an index?
300
Buying and selling stock, usually on the internet, based on minute-by-minute changes in the price of the stock.
What is day trading?
300
Stocks that pay higher-than-average dividends compared to other stock issues; dividends are predictable.
What are income stocks?
400
All investments – stocks, bonds, mutual funds, options, commodities – that are bought and sold on the stock market.
What are securities?
400
When shares of stock owned by existing shareholders are divided into a larger number of shares.
What is a stock split?
400
Shares of stock in a company are offered on an exchange to the public for the first time.
What is an IPO or initial public offering?
400

If a company goes out of business, who gets paid first with their assets that are left over? There are 3 groups of people that get paid in order. This one is first.

Creditors, Preferred Shareholders, Common Shareholders.

400
Stocks that have a market value that tends to reflect the state of the economy.
What are cyclical stocks?
500
A corporation that sells shares openly in the stock markets.
What is a public corporation?
500
Always expressed as a percentage of the original investment and figured on an annual basis.
What is rate of return?
500
The price of one share of stock divided by the corporation’s earnings per share of stock over the last 12 months (low number is good).
What is price-earnings ratio or P/E ratio?
500

Volatility of a stock measures what?

How quickly/abruptly a stock prices can go up or down.

500
Stocks that remain stable during declines in the economy.
What are defensive stocks?