Investing Review

1. A tax deferred retirement investment fund for employees of for profit companies.

• 401(k)

• 403b

• 457

• 402(a)

Spreading your investments around to inrease financial security

• Risk assessment
• Diversification
• Stocks, bonds & cash
• Liquidity trap

Professionally managed, diversified investment that pools resources of many investors

• Treasury bonds
• Stock index
• Mutual fund
• Saving account

Debt investment in which investor loans money to an entity, usually corporate or governmental

• Bond
• Stock
• Cash
• Annuity

As you get older your investments should get . . .

• more speculative
• more conservative
• more risky
• age does not matter

The RULE OF 72 is used in calculating the...

• interest an investor needs to reach a goal.

• age of money.

• time or interest needed to double an investment.

• fluctuations of the stock market.

The ability to turn an asset into cash is called...

• Liquidity

• Criteria

• A Risk Factor

• Asset Management

Short term investments where your money is locked in for a pre-determined amount of time is a...

• Stock

• Bond

• Certificate of Deposit

• Treasury Note

Market in which prices are rising and you should buy on a margin.

• Primary Market

• Secondary Market

• Bear Market

• Bull Market

Market in which prices are falling and you should short sell.

• Primary Market

• Secondary Market

• Bear Market

• Bull Market