Vocabulary
1-4 letter(s) that refers to a certain stock
What is a ticker symbol?
Your principal is safe and very liquid
What is a savings account?
This is not always illegal
What is insider trading?
Investments that mature beyond one year
What are Long-term investments?
Is the richest person in the world because of high stock prices
Who is Elon Musk?
Collection of investments
What is a portfolio?
Your principal is safe but not liquid
What is a Certificate of Deposit?
Allows you to vote for the board of directors
What is common stock?
Charges fees to buy and sell stocks
What is a broker?
What is the higher the potential return?
An account that provides a better interest rate than a savings account and is commonly opened at a brokerage firm
What is a money market account?
Investors are promised consistently high returns
What is a Ponzi Scheme?
The market is moving up
What is a bull market?
Type of pooled investment security that operates much like a mutual fund
What is an ETF?
An amount of money you earn on an investment
What is return on investment?
Investing in numerous different instruments to reduce your risk
What is diversification?
The riskiest investment
What are Stocks?
Stocks time horizon
What is at least 10 years?
Constructed to match or track the components of a financial market index
What is an Index Fund?
Pays dividends
What is Preferred Stock?
Interest earned on the principal and interest earned
What is compound interest?
Realigning your investments yearly to match your original plan
What is asset allocation?
Helps you evaluate a stock's price range during the last year
What is 52 hi-lo?
Can pay your bills if you own enough of the right stocks
What are dividends?
A debt instrument in which the investor loans money for a defined period and interest rate
What are bonds?