Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
14 Cards in this Set
- Front
- Back
|
A measure of the volatility, or systematic risk, of a security or a portfolio in comparison to the market as a whole.
|
Beta
|
|
|
A risk management technique that mixes a wide variety of investments within a portfolio
|
Diversification
|
|
|
A grouping of financial assets such as stocks, bonds and cash equivalents, as well as their mutual, exchange-traded and closed-fund counterparts.
|
Portfolio
|
|
|
A retirement plan in which a certain amount or percentage of money is set aside each year by a company for the benefit of the employee. There are restrictions as to when and how you can withdraw these funds without penalties
|
Defined Contribution Plan
|
|
|
An employer-sponsored retirement plan where employee benefits are sorted out based on a formula using factors such as salary history and duration of employment. Investment risk and portfolio management are entirely under the control of the company. There are also restrictions on when and how you can withdraw these funds without penalties.
|
Defined Benefit Plan
|
|
|
An individual who has been given the legal responsibility to care for a child or adult who does not have the capacity for self care. The appointed individual is often responsible for both the care of the ward (the child or incapable adult) and that person's affairs.
|
Guardian
|
|
|
A performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of different investments. To calculate, the benefit (return) of an investment is divided by the cost of the investment; the result is expressed as a percentage or a ratio.
|
Return on Investment (ROI)
|
|
|
The world's leading index provider and the foremost source of independent credit ratings.
|
Standard & Poors
|
|
|
A marketable, fixed-interest U.S. government debt security with a maturity of more than 10 years. Make interest payments semi-annually and the income that holders receive is only taxed at the federal level.
|
Treasury Bonds (T-Bonds)
|
|
|
An increase in the value of an asset over time.
|
Price Appreciation
|
|
|
A formal legal document, which is required by and filed with the Securities and Exchange Commission, that provides details about an investment offering for sale to the public.
|
Prospectus
|
|
|
A type of mutual fund with a portfolio constructed to match or track the components of a market index, such as the Standard & Poor's 500 Index (S&P 500).
|
Index Fund
|
|
|
The process of realigning the weightings of one's portfolio of assets. Involves periodically buying or selling assets in your portfolio to maintain your original desired level of asset allocation.
|
Rebalancing
|
|
|
The act of dying without a legal will. Determining the distribution of the deceased's assets then becomes the responsibility of a probate court.
|
Intestate
|
