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Economics Chapter 2 Vocabulary Terms

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Term
Definition
Aggressive Growth Stock Mutual Fund   show
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annuities   show
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bond   show
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CD   show
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show food, metal, or another fixed physical substance that investors buy or sell, usually via futures contracts  
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diversification   show
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show stock profits that are paid out to shareholders  
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fixed annuity   show
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futures   show
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investments   show
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Growth Stock Mutual Fund   show
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large-cap fund   show
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show the availability of money; as there is more liquidity, there is typically less return. The quality of as asset that permits it to be converted quickly to cash without loss of value  
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show a mutual fund containing a group of medium-sized companies that are growing  
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money market   show
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show pools of money that are managed by an investment company; they offer investors a variety of goals, depending on the fund and its investment charter  
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portfolio   show
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show buying real estate to rent out as an investment; make sure you have plenty of cash before doing this  
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show degree of uncertainty of return on an asset; in business, the likelihood of loss of reduced profit  
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show relationship of substantial reward corresponding to the amount of risk taken  
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savings account   show
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show a piece of ownership in a company stock or mutual fund  
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show buying ownership in one company – the problem with single stocks is you are not diversified; there is a high degree of risk in single stocks  
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show a mutual fund that invests in companies whose market value is less than about $1 billion  
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speculative   show
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track record   show
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variable annuity   show
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Created by: NickPriceEllis
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