Investing in Funds

Front

Why is it important to start investing as soon as possible?

Back

You have more time for your money to compound.

Front

What is a Brokerage Account?

Back

An account that is used to buy and sell stocks, bonds, and funds.

Front

What is Social Security?

Back

Social Security is a government run retirement program.

Front

What is Dollar Cost Averaging?

Back

Putting regular amounts of money into an investment account at specific time intervals.

Tags

CCSS.7.RP.A.3

Front

What is an investment?

Back

Putting money into something with the expectation of profit.

Front

What does compounding mean in investing?

Back

The process where the value of an investment increases because the earnings on an investment earn interest as time passes.

Front

What is diversification in investing?

Back

The practice of spreading investments across various financial instruments to reduce risk.

Front

What is a mutual fund?

Back

An investment vehicle made up of a pool of money collected from many investors to invest in securities like stocks and bonds.

Front

What is a 401(k)?

Back

A retirement savings plan sponsored by an employer that allows employees to save a portion of their paycheck before taxes are taken out.

Front

What is the difference between stocks and bonds?

Back

Stocks represent ownership in a company, while bonds are loans made to a company or government.