Terminology Flashcards
What is a Stock?
A share in the ownership of a company.
What is a Market?
The overall environment where buying and selling of stocks occur.
What is a Broker?
A person or platform that facilitates stock trading.
Define Bull Market
A rising market where prices are expected to go up.
Define Bear Market
A falling market where prices are expected to decline.
What is a Divedend?
A portion of a company’s profit paid to its shareholders.
What is a Portfolio?
A collection of investments owned by an individual or institution.
What is a Index?
A benchmark that represents a specific market or a segment of it.
Define Blue Chip Stocks
Shares of large, well-established, and financially sound companies.
Define Volatility
The degree of variation of trading prices over time.
What is an IPO (Initial Public Offering)?
The first time a company’s stock becomes available for public purchase.
Define Market Order
A request to buy or sell a stock at the current market price.
Define Limit Order
A request to buy or sell a stock at a specific price or better.
Define Bullish
Optimistic about the potential rise in stock prices.
Define Bearish
Pessimistic about the potential decline in stock prices.
Define Diversification
Spreading investments across different assets to reduce risk.
What is the Stock Exchange?
A marketplace where stocks are bought and sold, e.g., NYSE, NASDAQ
Define Ticker Symbol
A unique series of letters representing a stock on the market.