| A | B |
|---|
| Investment | the act of redirecting resources from being consumed today so that they may create benefits in the future; the use of assets to earn income or profit |
| Diversification | spreading out investments to reduce risk |
| Portfolio | a collection of financial assets |
| Return | the money an investor receives above and beyond the sum of money initially invested |
| Yield | the annual rate of return on a bond if the bond were held to maturity |
| Stock split | the division of a single share of stock into more than one share |
| Speculation | the practice of making high risk investments with borrowed money in hopes of getting a big return. |
| Prospectus | an investment report to potential investors |
| Futures | contracts to buy or sell at a specific date in the future at a price specified today |
| Bull Market | a steady rise in the stock market over a period of time |
| Bear Market | a steady drop in the stock market over a period of time |
