Share Market Flashcards

1
Q

Listed Company

A

A company listed on the ASX

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Interest Rates

A

Rate at which interest is charged. Impacts on the sharemarket due to the amount of borrowings

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Dividend

A

Payment to an investor as the company has made money

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Investor

A

Person who buys shares or stocks

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Shares

A

Part ownership of a company

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

ASX

A

Australian Security Exchange

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

PDS

A

Product Disclosure Statement

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

Blue Chip

A

A large company with good profitability

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Secondary Market

A

Shares are issued to everybody else on the sharemarket via the ASX

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Share Market

A

Places where shares are bought and sold

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Market Forces

A

Things that impact on the price of shares

  • supply and demand of product/ services
  • Exchange rates
  • Economy
  • Interest rates
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Primary Market

A

Shares are issued for the first time, issued through a prospectus

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Float

A

When a company issues shares for the first time

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Exchange Rates

A

Value of one country’s currency in anothers

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

How can shares make you money?

A

Capitol growth

Dividends

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Price of share is determined by the ……

A

Demand and Supply

17
Q

Share holder

A

A person who owns a share in a company

18
Q

Board of Directors

A

A group of individuals that are elected as or to act as the representatives of stockholders to establish corporate management related polices and to make decisions on major company issues.

19
Q

Diversified Portfolio

A

A portfolio that includes a variety of securities so that the weight of any security is small.

20
Q

ASX Activities

A
  • Reviewing applications by companies listed on the ASX
  • Supervising companies after they are approved to make sure they obey the rules
  • Making the shares in listed companies available for trading on a network of computers in an electronic market
  • Reviewing applications by stockbrokers to be ASX participants
  • Giving approved stockbrokers access to the sharemarket so they can buy and sell shares for themselves and customers
  • ASX also operates a system for keeping a record of ownerships of shares
21
Q

4 factors that influence the share price of a company

A
  1. People running the company
  2. Taking over companies
  3. Technological innovation
  4. Interest rates
22
Q

What is the key rule that companies must follow concerning the way they operate?

A

Immediately tell the public about anything that would influence their decisions to buy or sell shares in the company

23
Q

What is the difference between investing and saving?

A

“Savings” are usually put into the safest places that allow you access to your money at any time

“Investments” have a greater chance of losing your money, gamble