Long Term Growth
Suitable for investors seeking capital appreciation and the opportunity to outpace inflation. May pay dividends and provides corporate ownership.
Common Stock
Suitable for investors seeking absolute safety of principal who are willing to accept a very low return. Short-term and liquid.
Treasury Bill
TRIPLE JEOPARDY SURPRISE QUESTION (X3 Points): What is a Eurodollar Bond?
US Dollar denominated deposits made in foreign countries (does not have to be in Europe)
Suitable for investors in high tax brackets and seeking tax-exempt interest income in their state
Municipal Bond
Suitable for aggressive investors who are able to withstand short-term volatility and/or for those seeking an investment that's often only available to large private equity funds; investors seeking high dividends
Business Development Company (BDC)
Suitable for investors seeking to invest in foreign companies. May pay dividends, trades in the U.S market and in U.S dollars.
American Depository Receipts (ADRs)
Suitable for investors seeking safe investments for short-term needs. Secured by the issuing bank and by the goods that were originally purchased by the importer. Used to facilitate foreign trade.
Bankers' Acceptances (BAs)
This is suitable for investors seeking income with the potential for long-term growth (the relative safety of bond, with the growth potential of the underlying stock)
Convertible Bond
Suitable for investors saving for a child's higher education expenses (college funding). Tax free investment account.
529 College Savings Plan
Suitable for high risk, speculative investors. Offers a higher coupon. Includes Income Bonds
High-Yield (Junk) Bond
Suitable for investors seeking long term investments at a low cost. Offers shares that track an index, shares are priced and traded in real-time, and may be sold short and purchased on margin.
Traditional ETF
Suitable for investors who want a fixed rate of interest. Typically offered at a discount and are typically issued by large banks or corporations to cover short-term financial objectives.
Commercial Paper
This is suitable for conservative investors seeking both long term growth and current income. A portfolio that consists of both stocks and bonds
Balanced Fund
Suitable for investors seeing tax-deferred retirement savings or the potential for lifetime payments. These payments can be periodic and based on the performance of the separate account.
Variable Annuity
Suitable for investors with long time horizons and who need future savings. For investors seeking monthly income (assuming he does not need the entire principal returned at maturity)
Z Tranche (last CMO tranche to be paid)
Suitable for investors seeking a low cost alternative to more actively managed funds with similar objectives. Passively managed with a low expense ratio.
Index Funds
Suitable for investors in high tax brackets who are investing for short term needs
Municipal Notes (Includes RAN, TAN, BAN, and GAN)
Suitable for investors seeking high dividend yield and willing to accept the price volatility associated with the value of the underlying properties.
Real Estate Investment Trust (REIT)
Suitable for persons with earned income (not for high income persons) who are saving for retirement and want future tax-free withdrawals.
ROTH IRA
Suitable ONLY for aggressive investors who are seeking a higher return. Least diversified type of fund that invests in one specific industry or geographic area
Specialized/Sector Fund
Suitable for investors seeking long-term growth and retirement savings as well as investors who want to hedge against inflation and are willing to take on most risk. Has high beta and offers little or no dividend income.
Growth Stock
DOUBLE JEOPARDY SURPRISE QUESTION (X2 Points): A CDSC is associated with which share class?
Class B Shares
DOUBLE JEOPARDY SURPRISE QUESTION (X2 Points): What is the calculation for Current Yield for STOCK
CY = Annual dividend / Current Market Price
Suitable for investors who are able to afford significant risks and commit capital for the long term. May provide tax deductions and tax credits, but has a risk of the IRS recapturing tax benefits
Direct Participation Program (DPP) Limited Partnership
DOUBLE-FUN JEOPARDY (No Double Points, just double fun): Suitable for a person seeking high risk and reward. Involves uncertainty in exploratory programs. Looks at the lower cost of land.
Wildcatting