5 Written questions
5 Matching questions
- mutual fund
- money market
- variable annuity
- a distribution of a portion of a company's earnings, decided by the board of directors, to a class of its shareholders; generally distributed in the form of cash or stock.
- b annuity that has a varying rate of return based on the mutual funds in which one has invested.
- c pool of money managed by an investment company and investment company and invested in multiple companies, bonds, etc.; offers investors a variety of goals depending on the fund and its investment charter; often used to generate income on a regular basis or to preserve an investor's money; sometimes used to invest in companies that are growing at a rapid pace.
- d mutual fund that seeks to maintain a stable share price and to earn current income by investing in interest-bearing instruments with short-term (usually 90 days or less) maturities.
- e piece of ownership in a company or mutual fund.
5 Multiple choice questions
- Certificate of Deposit, usually at a bank; savings account with a slightly higher interest rate because of a longer savings commitment (i.e. six months, one year, etc.).
- degree of uncertainty of return on an asset; in business, the likelihood of loss or reduced profit.
- mutual fund that seeks to provide max. long-term capital growth from stocks of primarily smaller companies or narrow market segments; dividend income is incidental; the most volatile fund; also referred to as a small-cap fund.
- to spread around one's investment dollars among several different classes of financial assets and among the securities of many issuers; results in lowered risk.
- debt instrument where an issuer such as a corporation, municipality or government agency owes you money; a form of I.O.U.; the issuer makes regular interest payments on the bond and promises to pay back or redeem the face value of the bond at a specified point in the future (the maturity date).
5 True/False questions
speculative → piece of ownership in a company or mutual fund.
growth stock mutual fund → fund that buys stock in medium-sized companies that have experienced some growth and are still expanding; also called a mid-cap fund.
track record → piece of ownership in a company or mutual fund.
large-cap fund → funds comprised of large, well-established companies.
small-cap fund → mutual fund that invests in companies whose market value is less than $1 billion; largely consists of smaller, more volatile companies; also called aggressive growth stock mutual fund.