Investment Strategies Chapter 2

6. note is a security that pays interest over terms ranging from two to ten years.
7. Corporations where shares can be traded openly.
9. company is a financial institution that makes money by issuing loans; loan company.
10. is a financial investment issued by a corporation, government, or other organization.
12. cards allow customers to pay for purchases and withdraw cash.
14. account is a bank account used by depositors to accumulate money for future use.
17. accounts for sophisticated investors who borrow money to purchase securities.
20. it is against the law for investors to act on this kind of information.
21. bill is a security that matures in a year or less.
22. is a document guaranteeing payment of a specific amount of money; payer named on document.
23. bank is a financial institution that provides services for businesses.
24. is a written order for the bank to pay a specific amount to the person or organization to which the check is written.
27. Transaction Documents that are confirmation statements are issued after the sale of stocks.
28. union is a nonprofit financial institution that is privately owned and provides banking services for its members.
29. capital market selling stocks and bonds directly to public investors.
30. capital market stockholders buy and sell shares of stock from one another with the help of brokers.

1. Corporations are a Vast majority of U.S. corporations and shares are not sold publicly.
2. system is the mechanism a nation uses to provide and manage money for itself.
3. firm is a financial institution that is involved in trading securities in financial markets.
4. the document that discloses financial information about the company and is filed with the SEC.
5. bond is a security that pays interest over terms of ten to thirty years.
8. are required to apply for Credit cards.
11. deposits are a type of EFT transaction; money is deposited directly into a customer’s checking account.
13. companies are for-profit businesses that sell insurance products.
15. someone who assists you with purchasing stocks and bonds.
16. Federal Reserve System is the _____ bank of united states.
18. institution is a financial institution that does not accept deposits.
19. account is a bank account that allows the account owner to make deposits, write checks, and withdraw money.
25. accounts that need to pay for security purchases within three business days of order.
26. banks are largest category of deposit institution.