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Unit 5 Review

AB
Financial InvestmentMoney set aside to increase wealth over time and accumulate funds for long-term financial goals such as retirement.
Put-and-take accountChecking/savings account for expected and unexpected expenses
Beginning investingInvest excess savings in conservative low risk investments.
Systematic investingInvesting on a regular and planned basis
Strategic investingCareful management of investment alternatives to maximize growth of your portfolio(collection of investments)
Speculative investingAdditional money to be used in high risk investments
InflationA rise in the general level of prices
Diversificationto spread the risk of investment
Riskthe chance that an investment's return will be different than expected.
Returnthe gain or loss of an investment in a particular period
Capital lossthe decrease in the value of an investment below the price initially paid for it
Commissionfees to a third party for assisting in a business transaction, such as buying or selling an asset
Transaction feeflat fee that you pay each time you buy or sell stock
Front loadis a percentage that is charged for each stock you buy
Back loadis a percentage that is charged for each stock that you sell.
Degree of safetyrisk of loss


Shea Bowen

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