PF-Unit 3 Review

Professional managed portfolios made up of stocks, bonds, & other investments

Group of 500 stocks used to evaluate condition of the market

Uncertainty of yield an investment will deviate from what is expected

Recommended % of money to spend, save, & invest

Formula for figuring number of years or interest rate required to double principal

Government agency that regulates Wall Street

FDIC insured account that earns low interest but is very liquid

Investment in property or land

Company's Assets minus Liabilities

Price paid for use of money

Speed & ease w/asset can be converted to cash

Person or company licensed to purchase or sell stocks

Term used when stock market is performing well

Offers higher interest than checking account, but higher minimum balance & limit withdrawals

Earning interest on interest

Original amount of money invested or saved

30 leading stocks used to evaluate condition of the market

Purchase of assets w/goal of increasing future income

Way to own part of a company & share in its profits

Issuer agrees to pay investors fixed interest rate for fixed period of time

Loaning money to bank for set period of time; the longer the term, the higher interest you pay

Portion of income not spent on current consumption

Term used when stock market is performing poorly

Stockholders share of the profits

Investment items that are rare & are considered risky