| A | B |
|---|
| Diversification | the strategy of spreading out investments to reduce risk |
| Financial asset | a claim on the property or income of a borrower |
| Financial intermediary | an institution that helps channel funds from savers to borrowers |
| Financial system | the network of structures that allows for the transfer of money between savers and borrowers |
| Investment | something bought for future financial benefit |
| Mutual fund | an organization that pools the savings of many individuals and invests it in stocks, bonds, and other financial assets |
| Portfolio | a collection of financial assets |
| Prospectus | an investment report |
