FA-5.4-5.6: Investing Review

Front

What are high grade bonds?

Back

Bonds with high credit ratings and lower risks of default, usually issued by stable companies.

Tags

CCSS.RI.11-12.5

CCSS.RI.6.5

CCSS.RI.7.5

CCSS.RI.8.5

CCSS.RI.9-10.5

Front

What are real estate investment trusts (REITs)?

Back

Companies that own, operate, or finance income-generating real estate.

Front

What are high yield bonds?

Back

Bonds with lower credit ratings and a greater chance of default, often issued by startups or struggling businesses.

Front

What is a bull market?

Back

A market condition where stock prices are rising and the economy is booming.

Front

What is a bear market?

Back

A market condition where stock prices are declining and the economy is receding.

Front

What is the significance of market trends in investing?

Back

Market trends help investors make informed decisions about when to buy or sell assets.

Front

What does it mean to time the market?

Back

Attempting to predict future market movements to buy low and sell high.

Front

Why is timing the market difficult?

Back

Trends are hard to predict, making it challenging to accurately time investments.

Front

What is asset allocation?

Back

The process of dividing investments among different asset categories, such as stocks, bonds, and cash.

Front

What are large cap stocks?

Back

Stocks of companies with a large market capitalization, typically over $10 billion.