Stock market terms (Business gr 10) Flashcards
(20 cards)
Bull Market
Most prices on the stock market are rising
Bear Market
Most prices on the stock market are falling
IPO
Initial Public Offering - The first time a company releases stocks to the public
Portfolio
A diverse package of stocks
Penny stocks
Stocks that cost less than a dollar
Name 5 different examples of sources of income:
- Employment
- Self-employment
- Investments
- Government transfers
- Lotteries
E.I
Employment Insurance - (the Government will take money off your paycheck)
CPP
Canada Pension Plan - (the Government will take money off your paycheck)
Name 6 examples of deductions off your paycheck:
- E.I
- CPP
- Private Pension Plan
- Taxes
- Union
- Benefits
Where do you buy stocks?
- Online
- Stockbroker
- Investment dealers etc.
What does “ask price” mean?
Lowest price an investor is willing to sell for
What does “bid price” mean?
Highest price an investor is willing to pay
What is a blue chip stock?
A stock that is generally known for being good investments and worth your money because they are reliable, trustworthy, well known, stable etc.
- an example of this is APPLE, NIKE or TESLA
What is a corporate bond?
A bond issued by a corporation in order to raise financing for a variety of reasons
Advantages of investing in stocks?
- Smooth and Continuous Transactions
- Diversification
- Dividend Benefits
- Investment Gains etc
What is a mutual fund?
A ‘pooled’ collection of assets that invests in stocks, bonds, and other securities.
What is a mutual fund?
A ‘pooled’ collection of assets that invests in stocks, bonds, and other securities.
Name 3 good things to know when investing:
- Diversify - invest in a variety of stocks
- Think logically when investing money (especially large amounts)
- Understand the risks of investing
Advantages of bonds?
- Predictable income stream
- High liquidity
- Legal protection
Reasons why you should buy stocks: (3)
- You can make money
- Dividend income
- Benefits of growth overtime