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Diversification
| Term | Definition |
|---|---|
| Bear Market | a market with generally stagnant or falling stock prices |
| Bonds | interest-earning loans to the government, corporations, or municipalities |
| Bull Market | a market with generally rising stock prices |
| Diversification | owning a collection of investments in order to spread risk and have a safer overall investment |
| Financial Planner | an investment advisor who can help you define and reach your financial goals |
| Investment Portfolio | the collection of investments you personally hold, including stocks, bonds, money market accounts, and savings accounts |
| Large-Cap Stock | stocks of very large companies that have a market capitalization of between $10 billion and $200 billion |
| Small-Cap Stock | stocks of largely unknown companies that have a market capitalization of between $300 million and $2 billion |