EPI

FINANCIAL TERMS

18 cards·by keiraaaa

Commercial Banks

provides services as in Deposits & Loans

Return

Amount earned on an investment

Liquidity

Ability to turn a financial asset into cash

Stock

Share of ownership in a corporation

DJIA

Stock index which tracks the value of the 30 largest corporations

S & P 500

stock index which tracks the value of 500 corporations

Financial Advisor

professional who renders financial services to clients

Mutual Fund

Investment vehicle that pools money from many investors to purchase securities

Certificate of Deposit

financial product commonly sold in the U.S. by banks, thrifts institutions, and credit unions

Bull Market

price rise of stocks

401k

name for tax-qualified pension accounts/ private sector

Compound Interest

Interest on the principal amount deposited and on interest

Capital Gain

Amount earned when selling a stock

Debit Card

A plastic payment card

Electronic Banking

Allow customers of a financial institution to conduct financial transactions on a secure website

Diversifitcation

reducing risk by investing in a variety of assets

FDIC

U.S. government corporation operating as on independent agency created by the Banking Act on 1933

Investment Portfolio

collection of assets