Investment Knowledge Quiz

What term refers to anything of value that can be owned, such as stocks, bonds, or real estate?

• Portfolio

• Asset

• Capital Gains

• Real Estate Investment Trust

What is a collection of investments owned by an individual or institution called?

• Hedge

• Portfolio

• Market Cap

• Dividend

What strategy involves spreading investments across various asset classes to reduce risk?

• Risk

• Return

• Diversification

• Liquidity

What term describes the potential for losing some or all of your investment?

• Risk

• Yield

• Volatility

• Limit Order

How is the gain or loss on an investment, typically expressed as a percentage, referred to?

• Return

• Interest Rate

• Market Order

• Capital Gains

What is a share in the ownership of a company called?

• Bond

• Index

• Stock/Equity

• Dividend

What is a loan made to a company or government in exchange for periodic interest payments and the return of the principal?

• Bond

• ETF

• Hedge

• Stop-Loss Order

Which term refers to a benchmark that measures the performance of a group of assets, such as the S&P 500?

• Market Capitalization

• Index

• Bid/Ask Spread

• Gross Domestic Product

What is a period of rising asset prices called?

• Bear Market

• Bull Market

• Volatility

• Inflation

What describes a pooled investment managed by professionals?

• 401(k)/IRA

• Exchange-Traded Fund

• Mutual Fund

• Hedge