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Personal Finance SG 2 (1).txt
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What is an action that can produce financial gain or loss?
Risk
What is combining investments with different risk levels and market charecteristics?
Web Def: act of introducing variety (especially in investments); "my broker recommended..
."
Diversification
What is the ease with which an asset can be turned into cash?
Web Def: The availability of liquid assets to a market or company.
Liquidity
What is the IRA
Individual Retirement Accoun
t
A professionally managed investment program funded by shareholders that trades in diversified holdings.
Retirement Savings Fund offered by employers; self managed
401K
What is a savings plan operated by a State or College to help set aside funds to defray future college costs?
A 529 Plan
What is ownership in a corporation purchased in shares?
Stock
What is NASDAQ; NYSE & AMEX?
Stock Exchanges
What is Dow Jones Industrial Average?
30 large companies measuring NYSE performance
What is Standard & Poor's 500 (S&P 500)?
500 widely held companies whose stock performance serves as a broad measurmenet of changes in stock prices
ie. they rise/fall everyone else will too
What is NASDAQ Composite Index ($COMPQ)?
Concentration of (technology) companies; measures NASDAQ exchange performance
Web Def: An index that covers the price movements of all stocks traded on the NASDAQ Stock Market.
What is stock price/earnings per share?
Web Def: What is the ratio of a public company's price per share & its net income after taxes on a per share basis.
P/E Ratio
(Price Earnings Ratio)
What is money loaned to a business or government - has maturity date; paid back w/ interest?
Bonds
What is issued by U.S. Government; low risk; maturity?
Treasury Securities
Who sells all investment products (stocks, bonds & funds)?
Web Def: an individual that arranges transactions between a buyer & a seller, & gets a commission when the deal is executed.
Brokers
What are 2 online brokers?
www.ameritrade.com
www.etrade.com
Author
qwilliams
ID
171557
Card Set
Personal Finance SG 2 (1).txt
Description
Investment Notes and SG
Updated
9/18/2012, 12:27:30 AM
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