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Soc. Studies Vocab.
Question | Answer |
---|---|
Diversification | To own many different stocks, all in different industries. |
Industry | A group of companies that make similar products |
Portfolio | A collection of investments that are owned by one individual or organization |
Bonds | An IOU that a company or government sells and an investor buys |
High-Yield bonds | Junk bonds, they are bonds that the issuers pay a high amount of interest to the bondholders. |
Issuer | An entity which issues that pays principal and interest |
Interest Rate | Either paid or given, interest is money. |
IOU | Debt; or to owe money |
Maturity | The date when a principal amount of security is payable |
Risk | To take a chance; the possibility of losing all or part of your money |