Quick Check: Types of Investments

Front

An interest-bearing deposit held at a bank or credit union

Back

Savings Account

Front

Consists of all the shares by which ownership of a corporation or company is divided.

Back

Stock

Front

A type of security under which the issuer owes the holder a debt, and is obliged to provide cash flow to the creditor.

Back

Bond

Front

An investment fund that pools money from many investors to purchase securities.

Back

Mutual Fund

Front

A time deposit sold by banks and credit unions that provides an interest rate premium in exchange for the customer agreeing to leave a lump-sum deposit untouched for a predetermined period of time.

Back

Certificate of Deposit

Front

An employer-sponsored retirement plan; funds are tax deductible

Back

401 k

Front

A retirement plan, not employer-sponsored; funds are tax deductible

Back

Traditional IRA

Front

A retirement plan, not employer-sponsored; funds are not tax deductible

Back

Roth IRA

Front

What is a 529 account primarily used for?

Back

College savings

Front

Which of the following is a benefit of a 529 account? Tax-free growth, Guaranteed returns, Unlimited contributions, Early withdrawal without penalty

Back

Tax-free growth