Stocks Flashcards
(20 cards)
A stock represents ____________ in a company.
ownership
The small part of a company you buy is called a ________.
share
When a company first sells stock to the public, it’s called an ___.
IPO
The two main types of stock are _________ stock and _________ stock.
common / preferred
Owners of common stock have the right to _____ on company matters.
vote
The profit you make by selling a stock for more than you paid is called ________ _____.
capital gains
Payments made to shareholders from company profits are called __________.
dividends
The two largest U.S. stock exchanges are the ______ and _________.
NYSE / NASDAQ
A period when stock prices are generally rising is called a ____ market.
bull
A period when stock prices are falling is called a _____ market.
bear
The ups and downs of stock prices are called ____________.
volatility
To reduce risk, investors spread money across different companies and industries, known as _________________.
diversification
An ______ fund tracks a whole market, like the S&P 500.
index
An __________ __________ ______ (ETF) trades like a stock but holds many stocks.
exchange traded fund
The rule of stock investing: time in the market beats ________ the market.
timing
The tax you pay when you sell stock for a profit is called _________ ________ tax.
capital gains
Money paid to you by stocks that gets taxed is called a __________.
dividend
A company that helps you buy or sell stocks is called a ________.
broker
A group of your investments is called your _________.
portfolio
The safest way to start investing in stocks is by opening a ____________ account.
brokerage
