CLS 3: Savings & Investing

Young, entrepreneurial companies with high growth potential are what type of stocks?

Savings certificate issued by a bank or credit union.

This type of ownership gives you voting rights in a company?

Well-known, reliable company. Steady growth. Pays small, regular dividends. What type of stock?

Which investment option is considered to be the riskiest?

A portion of a company’s profits that will be shared with their investors is called?

This savings option has a limited number of withdraws (usually per month).

Stock market can provide a greater return on your investment and has lower risk.

When you buy a stock in a company, you are guaranteed to receive?

This is a personal retirement account.

Form of debt financing where government or corporation borrow money and pay it back with interest.

Which of the following measures how quickly an investment can be turned into cash?

Where are stocks and other securities bought and sold?

Electronic exchange marketplace?

If you bought a stock at $50 per share and sold it for $30 per share, the difference is called?

An older, stable company that pays high dividends and has low growth is what type of stock?

Type of savings account with a higher minimum balance and a higher interest rate.

FDIC and NCUSIF insure depositors up to ____________?

The current price of a stock that sells on the stock exchange is called?

Considered to be the safest savings option but pays very low interest rate.

Person charging a fee/commission to execute the buy and sell orders submitted by an investor.

Time value of money states…

This savings option has the possibility of having matched contributions by employers.

A benefit to a mutual fund is…

A deposit account that earns interest and is issued by a bank or credit union.

An investor that invests among a variety of investment options is engaging in concept known as?

Savings, Government, Municipal, and Corporate are all a variety of this type of savings option.

Which savings option has tax deferred growth (taxed when you withdraw the funds)?

If you bought a stock at $10 per share and sold it for $15 per share, the difference is called?

A savings option that must be used for education or can face a 10% penalty.

A part owner of a company.

Savings option that lock in money for a period of time in return for a fixed interest rate.

Low risk = ?

Mutual funds allow investors to invest in a variety of stocks and bonds.

Share in ownership of a company

Interest earned on only the original principal is called?

Higher risk has the potential for?

What is less risky? A Stock or Bond?

A professionally managed portfolio of stocks, bonds, or other investments.

Largest and oldest stock exchange in USA?

A 401K and IRA are both considered this type of savings option.

Interest earned on the original principal and on previously earned interest is called?