Social Studies Word Scramble
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Question | Answer |
Diversification | An investment strategy in which you spread your investment dollars among industry sectors. Reducing risk by combining different investments whose prices aren't likely to move in step with one other. |
Industry | A group of companies that make the same products;i.e pharmaceutical companies. |
Portfolio | A collection of investments owned by one individual or organization. |
Risk | The chance of losing all or part of an investment. |
Bonds | An IOU that a company or government sells when it borrows money. Bonds are called fixed income investments because they pay a fixed amount of interest to the bondholder who purchases this IOU. |
High Yield Bonds | To attract investors, the issues of these bonds pay a higher rate of interest than investment grade bonds with the same maturity. They are rated below investment grade bonds are also called junk bonds |
Issuer | An entity which issues and is obligated to pay principal and interest on a debt security. |
Interest rate | Compensation paid or to be paid for the use of the money. Interest is generally expressed as a percentage rate. |
IOU | Means as it sounds I owe you means debt too. |
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turkma
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