Facilitates buying and selling investments from a stock exchange.

Unearned income received from the sale of an asset above its purchase price

Funds deposited in a CD are held for a certain length of time.

Saving tool to help manage everyday purchases. Very liquid. Quick access to funds

Earning interest on interest

Recommended that educational loan payments require no more than 10/15% of your estimated income.

Only completes orders to buy and sell investments

Decreases risk by investing money in a variety of investment tools

The share or profit distributed in cash

Trained professional that helps people make investing decisions.

The rise in general level of prices

Stock holders will always receive a profit when the stock is sold, IS NOT A TRUE STATEMENT

How quickly and easily an asset can be converted into cash.

Money earns depends on balance. Higher the account balance,higher the tirered interest rate, minimum balance requirement.

Diversified investments. Combining the funds of many different investors and then invest money

Money one would have earned if they had worked instead of continuing their education

Taxes are often owed on profits generated from investments

Setting aside a predetermined amount of money for savings before using any of the money on spending

Higher, to maintain purchasing power

Higer Risk Indicate Higher Return

Designed to hold money not spent on current consumption. More liquid than a certificate of deposit

Accounts offered, whose main purpose is to help manage money, and protected by the US Government against loss

Savings tools are secure because they are protected by the US Government against lost

A share of ownership in a company

Organized, central services to buy and sell stocks, bomds and other investments that are traded.

Investments structured for tax benefits. Reduce, defer, or adjust the current year tax liability

Amount of Interest earned on the account balance

Invest as long as possible and at the highest interest rate possible

Example: Giving up food from the vending machine to save $100.00 a month for emergency funds.