Vocab
A symbol or grouping of letters representing a stock or company
Ticker
BETA
A collection of investments
The US stock exchange is located in this US city
New York
The 4 letters that represent the US stock exchange
NYSE
A stock from a company that has been in business for years, is profitable, and well organized
Blue Chip Stock
A financial metric that shows how much net profit a company generates for each share of its common stock
EPS - earnings per share
When should a person start investing?
As soon as possible or as young as possible
The government agency responsible for monitoring stock trades.
SEC or Securities and Exchange Commission
The term for profit made on a stock trade
Capital Gain
A place where stocks can be bought and sold
Market
Measures a company's stock price relative to its earnings per share, showing how much investors pay for each dollar of profit.
PE Ratio - price to earnings ratio
This retirement accounts allows for an investor to pay taxes up front
ROTH IRA
The term for when the market is trending upward
Bull Market
A type of stock that is usually only offered to employees
Preferred Stock
Dividend
A factor that will cause a stock to go up
Profits, new product, positive news, among other answers
This type of retirement account allows an investor to have money directly taken from their paycheck pre tax to lower tax liability at the time
IRA, 403B
This market is typically online and filled with tech stocks
NASDAQ
The concept of balancing our your portfolio to minimize risk and links to only one category of stock
Diversification
The term that represents how likely a stock is to go or down at extreme levels
A factor that may cause a stock to drop
low profits, poor management, negative news, other economic factors
This type of stock purchase allows an investor to make money even if the stock price drops
Short Sale
The stock market crash of 1929 led to this historical period in the US
Great Depression
Type of stock that anyone can purchase
Common Stock