Investing in stocks
Quiz yourself by thinking what should be in
each of the black spaces below before clicking
on it to display the answer.
Help!
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| Dividends | a sum of money paid regularly (typically quarterly) by a company to its shareholders out of its profits (or reserves)
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| Common Stock | shares entitling their holder to dividends that vary in amount and may even be missed, depending on the fortunes of the company.
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| Return on Investment | measures the gain or loss generated on an investment relative to the amount of money invested
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| Blue Chip Stocks | stock is the stock of a large, well-established and financially sound company that has operated for many years
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| Price/Earnings Ratio | the measure of the share price relative to the annual net income earned by the firm per share.
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| Bear Market | A market characterized by falling prices and poor investing
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| Bull market | A period of risking stock prices and positive investing
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| Stockholder | Owners of a corporation
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| Market order | an order to buy/sell stock at its normal market price
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| Market value | Marketplace price of a stock
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| Odd lot | less than 100 shares of stock
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| Proxy | Stockholder's written authorization to transfer voting rights to someone else, usually the company's manager
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| Par value | assigned dollar amount that is printed on a stock certificate
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| Round Lot | Shares bought/sold in multiples of 100
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| Limit order | An order to buy/sell a stock only if the price is within specific limits
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| over the counter market | network of brokers buying/selling securities of corporations that are not listed on the securities exchange
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| Securities exchange | Marketplace where brokers who represent investor buy/sell securities
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| Speculative investment | Investment with a chance of marking a quick profit
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| Direct investment | Buying stock directly from a corporation
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| Dividend reinvestment | Using dividend previously earned on stocks to buy more shares
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| earnings per share | corporations after-tax earning divided by the number of outstanding shares of common stock
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| stock index | a benchmark used of judge the performance of investments
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| stock broker | employee of a brokerage firm who buys and sells securities for investors
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| stock split | increase in the number of outstanding shares of a company's stock
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| ticker symbol | abbreviated term that is used to identify a stock for trading purposes
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Created by:
josiah.woodard.18