An asset or item acquired with the goal of generating income or appreciation over time

Investments Flashcard

Flashcard
•
Financial Education
•
12th Grade
•
Hard
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11 questions
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1.
FLASHCARD QUESTION
Front
Back
Investment
2.
FLASHCARD QUESTION
Front
A popular profitability metric used to evaluate how well an investment has performed.
Back
Return on Investment (ROI)
3.
FLASHCARD QUESTION
Front
Owning a wide variety of investments with different characteristics to reduce volatility
Back
Diversification
4.
FLASHCARD QUESTION
Front
A _____, also known as equity, is a security that represents the ownership of a fraction of the issuing corporation.
Back
Stock
5.
FLASHCARD QUESTION
Front
A fixed-income instrument that represents a loan made by an investor to a borrower (typically corporate or governmental)
Back
Bond
6.
FLASHCARD QUESTION
Front
A managed fund that pools money from shareholders to invest in securities.
Back
Mutual Fund
7.
FLASHCARD QUESTION
Front
What is an exchange-traded fund?
Back
A type of pooled investments security that holds multiple underlying assets, rather than only one.
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