Investing Flashcard

Front

When you are short selling, you are betting that the stock price will ...

Back

go down

Front

A diversified portfolio is desirable because?

Back

decreases risk by investing money in a variety of investment tools

Front

stock analysts use this term for a market that is doing poorly

Back

bear

Front

Relationship between risk and return in investing can be stated as:

Back

higher risk indicates higher potential return

Front

A mutual fund is?

Back

collection of investments sold as a package

Front

stock analysts use this term for a market that is doing good and is on the rise

Back

bull

Front

A person makes $5,000 per month, with taxes of $1,200, and $2,000 of necessities. What is their disposable income?

Back

$3,800

Front

Which would be considered the highest risk investment type? Options: Stock, Mutual Fund, Long Term CD, Savings Account

Back

Stock

Front

Andy earned $300 on a $1000 investment. What is his current ROI (return on investment)?

Back

30%

Front

A diversified portfolio is desirable because

Back

It decreases risk.