An account at a depository institution that is used for a fixed period of time and allows restricted access to the funds deposited

Businesses that provide financial services

The amount of interest earned depends on the account balance

Accounts offered by depository institutions whose main purpose is to help people manage their money

An account that allows quick access to funds for transactions

An account at a depository institution that usually has minimum balance requirements and tiered interest rates

Cash set aside to cover the cost of unexpected events

Savings for the future by putting money aside before paying regular monthly bills or using income for discretionary purchases

The original amount of money saved or invested

The purchases of goods and services

When you complete a task yourself rather than paying someone else

How quickly and easily assets can be accessed and converted into cash

Money available at the present time is worth more than the same amount if received in the future

Accumulation of excess funds by intentionally spending less then you earn

Giving up one thing for another

The value of the next best alternative that must be forgone as a result of a decision

Portion of income not spent on consumption

Percentage rate used to calculate interest

Earning interest on interest

Price paid for using someone else's money

The total return on an investment expressed as a percentage of the amount of money saved

A mutual fund that was designed to reduce fees by investing in the stocks and bonds that make up and index

An individuals general approach to investment risk

The danger that money wont be worth as much in the future as it is today

The specified time in the future when the principal amount of the bond is repaid to the bondholder

Reduce, defer, or adjust the current year tax liability

A fee charged for the use of property or land

The owner of stock

The possibility that an investment will fail to pay the expected return or fail to pay a return at all

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

Created when a company combines the funds of many different investors and then invests that money in a diversified portfolio of investments

Offer investment transactions as well as investment advice and a financial advisor

The chance of loss from an event that cannot be entirely controlled

Assets purchased with the goal of providing additional income from the asset itself but with the risk of loss

A share of ownership in a company

A form of lending to a company or the government

Reduces risk by spreading money among a wide array of investments

The share of profits distributed in cash

An organized central service to buy and sell stocks, bonds, and other investments that are traded

Only completes orders to buy and sell investments

A trained professional that helps people make investing decisions

A group of similar stocks and bonds

The rise in the general level of prices

Facilitates the buying and selling of investments from a stock exchange

The current price that a buyer is willing to pay

The profit of income generated by saving and investing