| A | B |
|---|
| Emergency fund | Money that you can access quickly for an immediate need. |
| Speculative inestment | High risk investment made in the hope of eatning a relatively large profit in a short time. |
| Retained earnings | Profits that are reinvested. |
| Equity capital | Money that a business gets from its owners in order to operate. |
| Investment liquidity | The ability to buy or sell an investment quickly without substantially affecting its value. |
| Dividends | Distributions of money,stock, or other property that a corporation sometimes pays to stockholders. |
| Common stock | Provides the most basic form of corporate ownership, and entitles you to voting privileges. |
| Preferred stock | Stock that gives the owner the advantage of receiving cash dividends before common stockholders receive any. |
| Corporate bond | A corporation's written pledge to repay a specified amount of money, along with interest. |
| Government bond | Written pledge of a government or a municipality to repay a specified sum of money with interest. |
| Mutual fund | Investment alternative in which investors pool their money to buy stock, bonds, and other securities based on the selections of professional managers who work for an investment company. |
| Diversification | Process of spreading your assets among several different types of investments to lessen risk. |
| Financial planner | A specialist who is trained to offer specific financial help and advice. |
| Tax-exempt income | Income that is not taxed. |
| Tax Deferred income | Income that will be taxed at a later date. |
| Capital gain | The profit from the sale of an asset such as stocks, bonds, or real estate. |
| Capital loss | The sale of an investment for less than its purchase price. |
| Prospectus | A document that discloses information about a company's earnings, assets, and liabilities. |
