Personal Money Management
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Created by:
Dklemensen on May 9, 2012
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Description:
Learn about stocks today!
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19 terms
Terms | Definitions |
|---|---|
 Bear Market | A prolonged period of falling stock prices and a general feeling of investor pessimism |
| Blue Chip Stocks | Stocks of large, well-established corporations with a solid record of profitability. |
| Bull Market | A prolonged period of rising stock prices and a general feeling of investor optimism |
| Capital Gain | An Increase in value of the stock above the price initially paid for. |
| Common Stock | Type of stock that pays a variable dividend and gives the holder voting rights. |
| Direct Investment | Buying stock directly from a corporation |
| Dividend Reinvestment | Using dividends previously earned on a the stock to buy more shares. |
| Dividends | Part of the corporation's profits paid to stockholders. |
| Earnings Per Share | Corporation's after-tax earnings divided by the number of common stock shares. |
| Growth Stocks | Stocks in corporations that reinvest their profits into the business so that it can grow. |
| Income Stocks | Stocks that have a consistent history of paying high dividends. |
| Leverage | The use of borrowed money to buy securities. |
| Market Value | The price for which the stock is bought and sold in the marketplace. |
| Par Value | An assigned (and often arbitrary) dollar value. |
| Preferred Stock | Type of stock that pays a fixed dividend and carries no voting rights. |
| Proxy | Stockholder's written authorization to transfer his or her voting rights to someone else. |
| Short Selling | selling stock borrowed from a broker that must be replaced at a later time. |
| Stock Split | An increase in the number of outstanding shares of a company's stock. |
| Stockholders | The owners of the corporation. |
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