5 Written questions
5 Matching questions
- rental real estate
- track record
- variable annuity
- mutual fund
- a 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.
- b annuity that has a varying rate of return based on the mutual funds in which one has invested.
- c the past history of something; with investments, look at the five or ten year record.
- d buying real estate to rent out as an investment.
- e 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.
5 Multiple choice questions
- piece of ownership in a company or mutual fund.
- accounts at financial institutions that allow regular deposits and withdrawals. The minimum required deposit, fees charged, and interest rate paid varies among providers.
- 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).
- 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.
- a food, metal, or fixed physical substance that investors buy or sell, usually via future contracts.
5 True/False questions
liquidity → contract sold by an insurance company, designed to provide payments to the holder at specified intervals, usually after retirement; the holder is taxed at the time of distribution or withdrawal, making this a tax-deferred arrangement.
mid-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.
C.D. → 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.).
small-cap fund → mutual fund containing a group of medium-sized companies that are growing.
futures → piece of ownership in a company or mutual fund.