1. The Language of Financial Markets

2. Why do we need to know this?
Participation in the world of finance requires learning a new language.
In order to be successful in the financial market you must be able to speak the financial language.

3. Activity 1
Look at the list of terms & definitions found in the investing 3 ring binder
Our goal within the next few days is to become experts on these terms.

4. Terms– Language of Financial Markets
Buying & Selling in the Market
Buying on Margin
Commission
Odd Lot
Price
Round Lot
Selling Short
Exchanges & Indexes
AMEX
DJIA
NASDAQ
NYSE
Over-the-Counter Market

5. Visual 1 – Language of Financial Markets continued
People in Financial Markets
Broker
Dealer
Institutional Investor
Investment Banker
Stockholder

6. Visual 1 – Language of Financial Markets continued
Stocks, Bonds, and Mutual Funds
Bond
Common Stock
Initial Public Offering (IPO)
Mutual Fund
Preferred Stock

7. Visual 1 – Language of Financial Markets continued
Technical Terms
Capital Gain
Dividend
Growth Stock
Income Stock
Stock Split

8. Review
Make note cards with the definition on one side and the answer on the back
Quiz each other to prepare for test over these terms.