Choosing the Right Savings and Investment Options/Savings and Investments

This means that a saver can withdraw the money at any time

__________involve buying something that you expect to increase in value, but the item may also lose value

A professionally managed portfolio of assets, or a pool containing stocks, bonds, and other types of investments

Money is loaned to the government/corporation and regularly receive interest income at a preset interest rate

It is less risky to start a business than to purchase a franchise

IRAS are illiquid

Investing involves a certain amount of_____

Starting a business can be a highly risky investment

Charge an investor pays an advisor/broker in return for investment advice or making purchases or sales on their behalf

If you start at an early age, you can gain wealth for the future by investing

You can withdraw money for a certificate of deposit (CD) at your local ATM machine

Using your morgage to invest is a great idea?

Saving and investing are important for economic growth

Saving and investing serve different purposes. _______________help individuals and families to build wealth

interest bearing checking accounts are better for savings than a basic checking account

A risk management technique that spreads investment capital over a wide range, or portfolio, of investments

Most employers will match part of each employee’s contribution (usually up to 5 percent of the employee’s salary)

Which form of investment carries the least risk

The__________ is responsible for ensuring that business practices lead to an efficient economy.

Investments are insured by the Federal Deposit Insurance Corporation (FDIC)

__________ earns interest based not only on the initial deposit but also on the interest the account earns

Some investments are more risky than others, and investors may end up losing money

Savings that offers a higher interest rate: the saver must keep the money in the account for about 5 years

In a__________interest calculation, the interest income is the same each year

There are heavy penalties if you take out the money before age 59 on a(n)________

The __________is responsible for ensuring that business practices lead to an efficient economy

Income that investors earn from selling investments at higher prices

A____________account that safeguards money. It has no minimum deposit

accounts generally have ATM withdrawal limits ($300-600).

The most important regulatory agency is the_____which is the central bank of the United States.