| A | B |
|---|
| bear market | a market in which stock prices are steadily decreasing over time |
| bond | a debt instrument issued by a corporation or government. Must pay loan principal interest at maturity |
| bull market | a market in which stock prices are steadily rising over time |
| contingencies | unplanned events/ emergencies |
| diversification | holding a variety of investments in order to reduce risk |
| dollar-cost averaging | saving and investing a regular amt such as monthly |
| emergency fund | money set aside for emergencies and other unplanned events |
| financial security | being able to meet current expenses, save for future expenses and live comfortably |
| industry risk | the risk that your investment will lose money because of the industry it is in |
| inflation risk | the that your investment will lose value because of inflation |
| investment portfolios | a collection of assets including stocks bonds real estate, and other holdings |
| investment risk | the potential for change in the value of an investment also called portfolio risk |
| liquidity | a measure of the ability to turn an asset into cash quickly |
| market | any place where investments are bought and sold |
| political risk | an investment risk based on events such as elections |
| stock risk | the risk that an individual stock or company will go down in value |
| stocks | shares of ownership in a corporation |
| tax-deferred | free from tax for a period of time |
