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15 Cards in this Set
- Front
- Back
Investing
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The use of savings to earn a financial return.
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Inflation
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The rise in the general level of prices.
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Rule of 72
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Technique for estimating the number of years required to double your money at a given rate of return.
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Risk
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The chance that an investment's value will decrease.
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Diversification
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Spreading the risk among many types of investments.
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Financial Advisers
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They are trained to give investment advice based on your goals, age, lifestyle, and other factors.
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Annual Report
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Summary of a corporation's financial results for the year and prospects for the future.
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Bonds
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Debt obligations of corporations or state or local governments.
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Discount Bond
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You buy it for less than its maturity value.
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Stock
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A unit of ownership in a corporation.
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Mutual Fund
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You can buy shares in a large, professionally managed group of investments called a mutual fund.
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Annuity
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A contract sold by an insurance company that provides the investor with a series of regular payments.
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Futures
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Contracts to buy and sell commodities or stocks for a specified price on a specified date in the future.
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Option
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The right to buy or sell a commodity or a stock for a specified price within a specified time period.
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Penny Stocks
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Low-priced stocks of small companies that have no track record.
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