Unit 6-Investing in Retirement Review

The profit from the sale of assets such as stocks, bonds, or real estate

True or False. A capital loss is the sale of an investment for less than its purchase price.

Investment alternative that investors pool money to buy stocks, bonds, and other securities.

Social Security pays benefits to all the following EXCEPT ____

Diversification is a key reason for buying a ______________. 

True or False. Probate is the legal process of proving whether a will is valid.

Market condition that occurs when investors are pessimistic about the economy and sell stocks

Tax collected by the state on the property left by a person in his or her will is called ____.

True or False. To pay for a new school, a local government may issue a municipal bond.

True or False. Common stock is a unit of ownership in a company.

True/False.The amount of money you earn in your life,doesn't effect Social Security benefits.

The Potential for loss when investing

The salary reduction plan for an employee at a tax-exempt institution is called a ____.

True or False. Buying on margin is a risky way to purchase stocks.

A package of protection that provides benefits to retirees, survivors, and disabled persons

In a living will, a person expresses whether he or she wants to ____.

Spreading your assets among several different types of investments to reduce risk

The largest financial advisers are monitored by the ____.

True or False.Mutual fund is investment that investors pool money to buy stock,bond,securities.

Retirement savings that is deducted from gross check & placed in a special account

A legal declaration of a person’s wishes regarding disposal of his or her estate after death

True or False. If you die while on vacation, you die intestate.

“Growth” companies typically reinvest their profits rather than ____.

True or False. Stock split occurs when shares of stock are divided into two.

True or False. A bear market occurs when investors are pessimistic about the economy.

Legal document which states if you want to be kept alive by artificial means. 

True or False.The amount that one share of mutual fund is worth is called its net asset value.

A person who is named to receive a portion of someone’s estate

To reach maturity, treasury bills take between ____________.

True or False.Prospectus discloses information about company’s earnings,assets, liabilities.