Vocab Basics
A piece of ownership in a company
What is a stock?
A period of rising prices and confidence
What is a bull market?
Most common stock with voting rights
What is common stock?
Agreement that led to the NYSE
What is the buttonwood agreement?
Illegal trading using private information
What is insider trading?
One single unit of ownership in a company
What is a share?
A period of falling prices and fear
What is a bear market?
Stock with fixed dividends but no voting rights
What is preferred stock?
Exchange known for traditional companies
What is the NYSE?
Agency that regulates the market
What is the SEC?
A short group of letters representing a company
What is a ticker symbol?
What most investors collectively believe
What is market consensus?
Large, stable companies like Coca-Cola
What are blue chip stocks?
Exchange known for tech companies
Company financial report
What is an earnings statement?
A marketplace where stocks are bought and sold
What is a stock exchange?
Investing strategy focused on patience and logic
What is the common sense approach?
Stocks under $5 with high risk
What are penny stocks?
Tracks 30 major companies
What is the DOW?
Money paid to shareholders
What are dividends?
The total value of a company (share price × shares)
What is market cap?
Investor famous for long-term value investing
Who is Warren Buffet?
Company size category that is smallest but high growth potential
What is small cap?
What is Standard and Poors?
Tax form you receive in order to pay taxes on your capital gains
What is a 1099?