Saving & Investing Vocabulary

Interest bearing deposit account without a stated maturity date. Funds can be deposited or withdrawn at will, and pay interest from day of deposit to day of withdrawal.

• dividends

• investment

• savings

• bonds

The business of buying and selling stock.

• estate planning

• stock market

• personal financial planning

• diversification

Written pledge of a government or a municipality, such as a city, to repay a specific sum of money with interest.

• corporate bond

• investment liquidity

• mutual fund

• government bond

A person who is named to receive a portion of someone’s estate.

• beneficiary

• executor

• power of attorney

• trust

Unit of ownership of a company which entitles the owner, or stockholder, to voting privileges

• government bond

• common stock

• preferred stock

• corporate bond

An arrangement in which a designated person manages assets for the benefit of someone else.

• trust

• will

• power of attorney

• probate

A fund that pools the money of several investors to buy a large variety of securities that meet the stated investment goals of the fund.

• savings bond

• estate

• seurities

• mutual fund

The ability to buy or sell an investment quickly without substantially reducing its value.

• personal financial planning

• investment liquidity

• savings bond

• dividends

A promise to repay the principal along with interest on specified date.

• bonds

• stock

• mutual fund

• securities

A legal procedure of proving that a will is valid or invalid.

• will

• trust

• investment

• probate