Investment Lingo 1

Question 1

Security

Answer 1

Any type of investment you can make, stock, bonds, etc.

Question 2

52 week high

Answer 2

Highest point at which a particular security has been traded during a year

Question 3

52 week high is based on

Answer 3

Security’s price at the close of a trading day

Question 4

Technical indicator

Answer 4

Investors analysis predicts future price movements

Question 5

52 week high is considered

Answer 5

A technical indicator

Question 6

Asset allocation

Answer 6

Mix of securities within your investment account

Question 7

When you decide your asset allocation

Answer 7

You’re dividing your assets across different stocks, bonds, etc.

Question 8

You divide your asset allocations based on

Answer 8

What you think will best meet your financial goals

Question 9

APR stands for

Answer 9

Anual percentage rate

Question 10

APR is the

Answer 10

Price you’ll pay to borrow money from bank or lender

Question 11

APR on a loan is

Answer 11

Interest rate and other fees combined

Question 12

On a credit cards your _ are usually the same numbers (2)

Answer 12

Interest rates

APR

Question 13

APY stands for

Answer 13

Annual percentage yield

Question 14

APY is the amount

Answer 14

You can earn on the money you invest

Question 15

APY refers to rate of return on (2)

Answer 15

Savings accounts

Certificates of deposit

Question 16

Bear Market

Answer 16

Period of sustained price declines in the stock market

Question 17

A bear market is generally used to describe a drop of

Answer 17

%20 or more

Question 18

Bear markets often indicate

Answer 18

Larger economic events, recessions

Question 19

Blue chip

Answer 19

Stock issued by company who is known to bounce back from economic downfall

Question 20

You get full investment back from bond when

Answer 20

Bond meets maturity date

Question 21

Bull market

Answer 21

Opposite of bear market

Question 22

Bull markets can last for

Answer 22

Months, years

Question 23

Bull markets can be highly

Answer 23

Profitable for investors

Question 24

Bull markets are accompanied by (2)

Answer 24

Strong economic growth

Low unemployment

Question 25

Cost basis on an investment is

Answer 25

Usually the amount you bought it for

Question 26

Capital gain (or loss)

Answer 26

Difference between cost basis and selling price of investment