Chapter 8: Investments and Retirement Review

A list of your investments

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

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

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

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

Degree of uncertainty of return on an asset

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

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

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

• true

• false

Diversification lowers risk with investing

• true

• false