1. 1/5/09 BR- What does it mean to “invest” money?
Today: Understanding Language of the Financial Markets
-This unit will begin today and will end with the test on Thursday, January 22 with a test. THERE WILL BE NO MAKE-UP DATE!
- We will review for the Exam on January 21

2. What can you do with your money?
You can invest it. This is a way to save money and get a better return than just putting it in a savings account. (do you understand how this works?)
To do this you need to understand some terms..

3. To do Get Activity 1 “Terms from the World of Finance”
Break into 5 Groups
Each group has one area of terms (see next)
in your group, every person should make a set of flashcards (get markers and cards from me) for the terms for your area.
Put the term on one side and the definition on the other
4. When you are done with your cards review the terms in your group-quiz each other
5. Exchange your cards with another group and review the terms.
6. Repeat steps 4 and 5 until you have reviewed all 5 term areas.

4. Group 1 - Buying and Selling in the Market
Buying on margin
Commission
Odd Lot
Price
Round Lot
Selling Short

5. Group 2 - Exchanges and Indexes
AMEX
DJIA
NASDAQ
NYSE
Over the Counter Market

6. Group 3 - Stocks, Bonds, and Mutual Funds
Common Stock
Initial Public Offering (IPO)
Mutual Fund
Preferred Stock

7. Group 4 - Technical Terms
Capital Gain
Dividend
Growth Stock
Income Stock
Stock Split

8. Group 5- People in Financial Markets
Broker
Dealer
Institutional Investor
Investment Banker
Stockholder

9. Homework
Write out a definition for all of the financial terms in all areas.
-OR-
Complete your own set of flashcards for all the terms
You will use these definitions tomorrow in a game.