CRM Chapter 12 Investments

Before you invest, you should make sure a mutual fund has done well for 5-10 years.

• 
• 

Investing your money earns you more money because of

• Real estate
• Stock market
• Simple interest
• Compound interest

_____ is the cure for _____________.

• investing wisely;

  estate planning

• love;

  the income gaps in our society

• generosity;

  selfishness

• selfishness;

  thinking of others first

__________ is the process of figuring out how much money you'll need in retirement and creating a plan to get there.

• Retirement savings
• Financial forecasting
• Wealth management
• Retirement planning

Diversification reduces your _______ by using a mix of investment types in your portfolio.

• risk
• income
• benefit
• reward

When you invest in a mutual fund, you are contributing to a pool of money that will be _______.

• used for personal expenses
• kept in a savings account
• collectively invested in multiple securities

• used to buy a single stock

A security that represents part ownership of a company is called a(n)

• bond
• stock
• mutual fund
• ETF

What is the Fifth Foundation?

• Pay cash for your home

• Build wealth and give

• Save for retirement

• Pay cash for college

Live like no one else now, so later you can live and ___________ like no one else.

• Be selfish

• Work hard

• Hoard your resources

• Give

You should wait to be generous until you have money to give.

• 
•