GenIRevolution Mission 8 – Intro to Stocks – Flashcards
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Stock
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A share of ownership in a corporation.
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Stock Market
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A general term used to describe all transactions involving the buying and selling of stock shares issued by a company.
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NYSE
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New York Stock Exchange
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AMEX
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American Stock Exchange
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NASDAQ
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A major stock exchange that handles trades through a computerized network
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Dividend
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A portion of the net profits paid directly to the stockholders paid at a fixed amount.
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Stockholder
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An owner of one or more shares of a corporation
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Ticker Symbol
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A short abbreviation used to uniquely identify publicly traded shares of a particular stock on a particular stock market
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Diversify
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To divide up money into different investments so that if one area turns for the worse then you will be protected.
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Investment Portfolio
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The collection of investments you personally hold, including stocks, bonds, money market accounts, and savings accounts.
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Securities Exchange Commision
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an independent federal agency that oversees the exchange of securities to protect investors
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Net Change
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Difference between closing price of previous day and current day.
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IPO
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Initial Public Offering
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Publicly Traded Company
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A company that issues shares of ownership, or stocks, that are traded on the open market
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Closing Price
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The last price for a stock traded at the end of the trading day or session on an exchange.
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P/E Ratio
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Price to earnings ratio shows the relationship between the stock price and it's company's earnings (profits)
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Return on Investment
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(ROI) the ratio of money gained or lost on an investment relative to the amount of money invested. (usually stated in percentage form)
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Equity
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Amount of owners' or shareholders' portion of a business.
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Blue-Chip
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stock from nationally recognized companies which dominate the industry often having annual revenue of one billion or more
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Stockbroker
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A licensed professional who handles stock purchases and sales
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Investment Risk
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the possibility that an investment will fail to pay the expected return or fail to pay a return at all
