Personal Finance: Investing Unit Review

An important criterion to consider when evaluating a professional for investment expertise is their qualifications.

• Experience

• Qualifications

• Networking skills

• Market knowledge

Cryptocurrency is not controlled by banks and governments.

• True

• False

• Partially true

• Depends on the country

Bonds are considered a safer investment compared to stocks.

• True

• False

• Sometimes

• Depends on the market

30%

• 20%

• 30%

• 40%

• 50%

Market Volatility

• The rate at which the price of securities increases or decreases for a given set of returns.

• The stability of a market over a long period of time.

• The average price of securities in a market.

• The total volume of trades in a market over a day.

Mutual funds risk level

• Low Risk

• Medium Risk

• High Risk

• Very High Risk

Dividend

• A portion of a company's earnings distributed to shareholders.

• A type of stock that pays no dividends.

• A fee charged by brokers for trading stocks.

• A financial instrument that represents ownership in a company.

Peace of mind in retirement

• Ensured by effective saving and investing.

• Guaranteed by government pensions.

• Achieved through minimal spending.

• Obtained by relying on family support.

Ensuring financial security

• A key goal of retirement investing.

• A method to reduce taxes.

• A strategy for short-term gains.

• A way to increase debt.

High-risk investment with big price changes/volatility

• Cryptocurrency

• Real Estate

• Government Bonds

• Savings Accounts