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Y9 Investment Strategies

Total questions: 15

Worksheet time: 6mins

Name
Class
Date
1.

If you own a share of stock, you...

a)

Own a certificate of deposit

b)

Own part of a company

c)

Own a treasury note

2.

Bonds are money you loan to a business or government to be paid back with interest

a)

True

b)

False

3.

When companies share their profits with shareholders, we call them _____________.

a)

Capital gains

b)

Revenue

c)

Income

d)

Dividends

4.

If you place a 6-month term deposit on May 12, 2023, the date of its maturity will be...

a)

November 12, 2024

b)

May 12, 2024

c)

December 12, 2023

d)

November 12, 2023

5.

The amount of interest your savings account earns will depend on...

a)

How much money you deposit

b)

The type of savings account you open

c)

How often they pay you interest

d)

All of the above

6.

You can 'diversify' your investments by buying...

a)

Only one type of investment

b)

Only risky investments

c)

Several different types of investments

d)

Only safe investments

7.

If you invest in a managed fund, you can choose different types of portfolios.

The order of least risky to most risky is:

a)

Balanced > Growth > Conservative > Aggressive

b)

Conservative > Balanced > Growth > Aggressive

c)

Growth > Aggressive > Balanced > Conservative

d)

Aggressive > Growth > Conservative > Balanced

8.

The riskier the investment, the higher the return on your investment

a)

True

b)

False

9.

Which of the following is NOT a type of collectible:

a)

Shoes

b)

Designer handbags

c)

Cheeseburger

d)

Artwork

10.

Which of the following statements is a disadvantage of superannuation?

a)

Administration and management fees are charged

b)

It allows you to maintain your lifestyle after retirement

c)

It is a mandatory saving scheme, backed by the Government

d)

The value generally increases over time

11.

A conservative investment approach is...

a)

When you want to preserve your capital (money) and are risk averse

b)

When you want to gamble your money

c)

When you want to achieve lots of growth by taking on risk

d)

When you want to invest in crypto-currency

12.

Which of the following is a disadvantage of investment in property

a)

The property may go up in value

b)

You can receive rent from it

c)

You have to pay stamp duty, legal fees, maintenance and real estate costs

d)

You own a physical asset - something you can touch and see

13.

Bad debt is

a)

Debt you owe to friends and family members

b)

Debt in things that will decrease in value over time

c)

Debt which takes a long time to pay back

d)

Debt in things that will increase your future investment

14.

Insurance is

a)

Protection against something e.g. your health, car, home

b)

An accident

c)

An umbrella

d)

A money making scheme

15.

Return on investment is

a)

The cost of borrowing money

b)

Net worth

c)

A calculation of interest rate

d)

A calculation in relation to the money earned vs the money invested