Chapter 8

A list of you investments

• Portfolio

• Investment

• IRA

• Share

• Mutual Fund

Quality of an asset that permits it to be converted quickly into cash without loss of value

• Investment

• Risk

• IRA

• Liquidity

• 401(k)

A piece of ownership in a company, mutual fund or other investment.

• Investment

• Mutual Fund

• Portfolio

• Share

• 401(k)

A retirement savings plan offered by a corporation to its employees; the employee contributes money from his/her gross pay, and the money grows tax deferred

• 401(k)

• IRA

• Investment

• Risk

• Share

Account or arrangement in which one would put their money for long term growth

• Risk

• Share

• Portfolio

• IRA

• Investment

Degree of uncertainty of return on an asset

• 401(k)

• Investment

• Risk

• Share

• Liquidity

Pool of money managed by an investment company and invested in multiple companies

• Investment

• Portfolio

• Mutual Fund

• Risk

• IRA

Tax-deferred arrangement for individuals with earned income; individual retirement arrangement

• 401(k)

• Investment

• Liquidity

• Risk

• IRA

A single stock would be a good place to keep your emergency fund.

• True

• False

Diversification lowers risk with investing

• True

• False