5 Written questions
5 Matching questions
- mid-cap fund
- small-cap fund
- large-cap fund
- a a term used to designate all contracts covering the sale of financial instruments or physical commodities for future delivery on a commodity exchange.
- b 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.
- c 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.
- d mutual fund containing a group of medium-sized companies that are growing.
- e funds comprised of large, well-established companies.
5 Multiple choice questions
- piece of ownership in a company or mutual fund.
- annuity that has a varying rate of return based on the mutual funds in which one has invested.
- 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.
- relationship of substantial reward in comparison to the amount of risk taken.
- purchasing risky investments that present the possibility of large profits, but also pose a higher-than-average possibility of loss.
5 True/False questions
diversification → 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.
liquidity → a food, metal, or fixed physical substance that investors buy or sell, usually via future contracts.
rental real estate → buying real estate to rent out as an investment.
single stocks → account or arrangement in which one would put their money for long-term growth; should not be withdrawn for a suggested minimum of five years.
portfolio → a food, metal, or fixed physical substance that investors buy or sell, usually via future contracts.