Vocabulary for Financial Literacy By: Joshua Tate

Stock a supply of goods kept on hand for sale to customers by a merchant, distributor, manufacturer, etc.; inventory.

dividends a pro-rata share in an amount to be distributed

Capital gain profit from the sale of assets, as bonds or real estate.

Common stock stock that ordinarily has no preference in the matter of dividends or assets and represents the residual ownership of a corporate business.

Blue chip stock A term used to describe stocks of high-quality, financially sound corporations.

Dow Jones short for Dow Jones Industrial Average, first published 1884 by Charles Henry Dow (d.1902) and Edward D. Jones (d.1920), later publishers of "The Wall Street Journal."

futures a condition, especially of success or failure, to come

options the power or right of choosing.

bond something, as an agreement or friendship, that unites individuals or peoples into a group; covenant

Mutal fund professionally managed type of collective investment scheme that pools money from many investors to buy stocks, bonds, short-term money market instruments, and/or other securities

commodities an article of trade or commerce, especially a product as distinguished from a service.

Preferred stock stock that has a superior claim to that of common stock with respect to dividends and often to assets in the event of liquidation.

New York Stock Exchange the largest stock exchange in the U.S., located in New York City