| No. | Item | Definition |
|---|---|---|
| 1. | 401(k) | employer-sponsored retirement account |
| 2. | allocation | how investments are divided |
| 3. | amortization | gradual loan repayment schedule |
| 4. | annuity | contract paying income over time |
| 5. | APR | yearly borrowing cost rate |
| 6. | APY | yearly savings growth rate |
| 7. | asset | something of financial value |
| 8. | bankruptcy | legal relief from debts |
| 9. | bear market | period of falling prices |
| 10. | benchmark | standard for performance comparison |
| 11. | beneficiary | person receiving benefits or assets |
| 12. | bond | debt security issued to investors |
| 13. | broker | person or firm executing trades |
| 14. | budget | a spending and saving plan |
| 15. | bull market | period of rising prices |
| 16. | capital gains | profit from selling assets |
| 17. | cash flow | money moving in and out |
| 18. | collateral | asset pledged for a loan |
| 19. | commission | payment based on transactions |
| 20. | compound interest | interest earned on interest |
| 21. | correction | notable market price decline |
| 22. | coverage | protection provided by insurance |
| 23. | credit | ability to borrow money |
| 24. | debt | money owed |
| 25. | deductible | amount paid before insurance helps |
| 26. | deduction | amount reducing taxable income |
| 27. | default | failure to repay debt |
| 28. | derivative | contract based on an asset |
| 29. | diversification | spreading investments to reduce risk |
| 30. | dividend | company payment to shareholders |
| 31. | due date | required payment deadline |
| 32. | earnings | company profit |
| 33. | emergency fund | savings for unexpected costs |
| 34. | equity | ownership value after debts |
| 35. | estate | property left at death |
| 36. | ETF | exchange-traded investment fund |
| 37. | expense | money spent |
| 38. | fee | charge for service |
| 39. | fiduciary | advisor bound to clients’ interests |
| 40. | forecast | prediction based on current data |
| 41. | FSA | flexible spending account |
| 42. | grace period | extra time before penalty |
| 43. | hedge | protection against financial loss |
| 44. | HSA | health savings account |
| 45. | income | money received regularly |
| 46. | index fund | fund tracking a market index |
| 47. | inflation | rising prices over time |
| 48. | inheritance | assets received after death |
| 49. | insolvency | inability to pay debts |
| 50. | interest | cost or earnings on money |
| 51. | investment | money put in for growth |
| 52. | invoice | bill requesting payment |
| 53. | IRA | individual retirement savings account |
| 54. | late fee | charge for overdue payment |
| 55. | leverage | using borrowed money to invest |
| 56. | liability | a debt or obligation |
| 57. | liquidity | ease of converting to cash |
| 58. | loan | borrowed money to repay |
| 59. | loss | negative financial result |
| 60. | market | place where assets trade |
| 61. | minimum payment | smallest required debt payment |
| 62. | money market | short-term cash investment market |
| 63. | mortgage | home loan secured by property |
| 64. | municipal bond | bond issued by local government |
| 65. | mutual fund | professionally managed pooled fund |
| 66. | net worth | assets minus liabilities |
| 67. | option | right to buy or sell |
| 68. | overdraft | negative account balance |
| 69. | penalty | charge for breaking rules |
| 70. | pension | retirement income plan |
| 71. | portfolio | a collection of investments |
| 72. | premium | insurance cost or added price |
| 73. | principal | original amount invested or borrowed |
| 74. | probate | court process for an estate |
| 75. | profit | money left after costs |
| 76. | rebalancing | resetting portfolio proportions |
| 77. | recession | period of economic decline |
| 78. | refund | returned overpaid tax money |
| 79. | return | profit or loss from investing |
| 80. | revenue | money from sales |
| 81. | risk | chance of loss |
| 82. | Roth IRA | retirement account with tax-free withdrawals |
| 83. | savings | money set aside |
| 84. | security | tradable financial instrument |
| 85. | settlement | final completion of a trade |
| 86. | statement | record of account activity |
| 87. | stock | share of company ownership |
| 88. | surrender value | cash value available on cancellation |
| 89. | target-date fund | fund adjusted by retirement year |
| 90. | tax | mandatory government charge |
| 91. | term | length of a loan or policy |
| 92. | treasury | government debt security |
| 93. | trust | legal arrangement holding assets |
| 94. | underwriting | evaluating and pricing risk |
| 95. | valuation | assessment of an asset’s worth |
| 96. | vesting | gaining ownership rights over time |
| 97. | volatility | degree of price fluctuation |
| 98. | will | legal document for asset distribution |
| 99. | withholding | tax taken from pay |
| 100. | yield | income produced by an investment |
