Investing NGPF

Front

A key difference between saving and investing is

Back

Saving is for emergencies & goals, investing is for long-term wealth

Front

Compound Interest works best when...

Back

You have a long time horizon - 10 years or more

Front

Which would be considered the highest risk investment type? Options: Stock, Mutual Fund, Bond, Money Market Account

Back

Stock

Front

The relationship between risk and return can be stated as

Back

Higher risk indicates higher return

Front

Which is NOT a stock market index? Russell 2000, Amazon, S&P 500, Nasdaq

Back

Amazon

Front

How can you make money on stocks?

Back

Buy low and sell high

Front

If interest rates rise, what will typically happen to bond prices?

Back

Fall

Front

What is the primary difference between a passively managed fund like index funds and
actively managed funds like mutual funds?

Back

Mutual Funds try to outperform the market

Front

Why is a diversified portfolio desirable?

Back

It decreases risk

Front

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

Back

Dollar cost averaging