Shared Flashcard Set

Details

Investing and estate planning
n/a
26
Finance
11th Grade
03/26/2012

Additional Finance Flashcards

 


 

Cards

Term
Appreciation
Definition
an increase in the value tof an investment
Term
capital gain
Definition
is income earned when the selling prive is greater than the purchase price
Term
stock
Definition
a share in the ownership of a corporation
Term
dividend
Definition
a portion of a companys earnings paid to stockholders
Term
common stock
Definition
earn dividends declared by the company
Term
preferred stock
Definition
recieve regular dividends at a set rate
Term
securities exchange
Definition
is a formal market where securities are bought
Term
stockbroker
Definition
is an agent who buys and sells securities for clients
Term
bond
Definition
is a certificate of debt issued by a corporation or goverment
Term
mutual fund
Definition
created by pooling the money of many people and investing it in a collection of securities
Term
net assetvalue )NAV)
Definition
is the funds assets minus its liabilities
Term
money market fund
Definition
type of mutual fund that deals only in high interest, shot-term investments, such as U.S treasurt securites
Term
bull market
Definition
is an extended period of consumer confidence and optimism when stock prices rise
Term
bear market
Definition
is an extended period of uncertainty and pessimism when stock prices fall
Term
investment portfolio
Definition
is a collevtion of securities and other assets a person owns
Term
diversification
Definition
to spreading risk by puttin money in a variety of investments
Term
prospectus
Definition
legal document that gives a detailed description of a security
Term
dollar-cost averaging
Definition
is a strategy of investing a fixed dollar amount atrregular intervals such as montyh without regard to the price of the investment at the time you buy it
Term
annuity
Definition
is a contract with an insurance company that provides regular income for a set period of time
Term
estate
Definition
the assets and liabilities a person leaves when he or she dies
Term
executor
Definition
is a person appointed to carry out the terms outlined in their will
Term
will
Definition
a legal document stating a persons wishes for his or her estate after death
Term
trustee
Definition
a person or institution named to mange assets on behalf of the beneficiaries
Term
living will
Definition
statment of instructions for specific medical treatment if a person cecomes unable to make medical decisions
Term
trust
Definition
a legal document that gives a named trustee the authority to manage the assets in an estate on behalf of the beneficiaries
Term
probate court
Definition
is the goverement institution that processes a deceased individual will and estate
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