Chapter 8 Financial Literacy

Quality of an acid that permits it to be converted quickly into cash without loss of value; availability of money

Securities that represent part ownership or equity in a corporation

A debt instrument by which the company owes you money a form of IOU

Piece of ownership in a company mutual fund or other investment

The practice of dividing the money a person invests between several different types of investments, order to lower risk

Money that is invested, either tax deferred or tax-free, within a retirement plan

The buying and selling of stock purchases each day throughout the practice of speculation

Agricultural or mining products

A savings account sold by an insurance company, designed to provide payments to the holder at specified intervals…

Account or arrangement when a person putstheir money for long term growth; invested money should not be used for a min.

A savings account with a slightly higher interest rate because of a longer savings commitment

Usually held as part of a larger portfolio and is generally considered an alternative investment

Relationship of substantial reward compared to the amount of risk taken

Investment vehicle made up of a pool of money collected from many investors…

the process of setting money aside to increase wealth over time for long-term financial goals such as retirement

Degree of uncertainty of return on an asset in business, the likelihood of loss or reduced profit

When someone with a terminal disease sells his life insurance policy for less than face value

A List of all your investments