Investments - GRIND

Question 1

Maintenance Margin

Answer 1

Minimum amount of equity requried before a margin call

Question 2

Value Line

Answer 2

Ranks stocks (1-5)

Question 3

Morning Star

Answer 3

Ranks primarily mutual funds (1-5 stars)

Question 4

Cash Dividends

Answer 4

Qualified dividends receive
capital gains treatment

Question 5

Ex- Dividend

Answer 5

One BD before date of record if sell stock on date will receive dividend, if buy won’t

Question 6

Date of Record

Answer 6

Date which you must be a registered shareholder in order to recieve dividends

Question 7

Securities Act of 1933

Answer 7

Regulates issuance of new securities (Primary Market)

Question 8

Securities Act of 1934

Answer 8

Created SEC to enforce compliance with security regulations and laws - Secondary Market

Question 9

Investment Company Act of 1940

Answer 9

SEC regulates investment companies, requires investment advisors to be registered with SEC.

Question 10

Securities Investors Protection Act of 1970

Answer 10

Established SIP to protect investors for losses resulting from brokerage firm failures

Question 11

Insider Trading and Securities Fraud Enforcement Act of 1988

Answer 11

Insider trading - not open to public, cannot trade on that info

Question 12

Treasury Bill

Answer 12

up to 52 weeks, in $100 increments

Question 13

Commercial Paper

Answer 13

Short-term loans between corporations
- 270 days or less, denominations of $100k

Question 14

Bankers Acceptance

Answer 14

Facilitates imports/exports, maturities of 9 months or less

Question 15

Eurodollars

Answer 15

Deposit in foreign banks that are denominated in US dollars