Even though the majority of American buyers have an understanding of the value of diversifying across expansion and benefit investments, few will be able to reach a passing quality on a take a look at in their familiarity with the discrepancies between The 2, according to a fresh American Century Investments survey.
Take a look at your knowledge with The expansion 정보이용료 & Benefit IQ quiz under:
one. Which finest describes a development stock?
a) Stock that offers guaranteed charge of development tied to shopper value index.
b) Stock in a firm specializing in agriculture, lumber, landscaping, and other organic and natural solutions.
c) A stock in a company demonstrating much better than regular earnings and earnings gains.
d) Every one of the above.
2. Which ideal describes a worth inventory?
a) Inventory in fast-developing corporation specializing in higher-price, low-Price tag products, like a reduction retailer.
b) Inventory in a firm specializing in worthwhile merchandise, like valuable metals and jewelry.
c) Inventory that has a lower price-to-reserve ratio.
three. Which assertion is real?
a) Benefit shares outperformed development shares in between 1927 and 2001.
b) Scaled-down company price stocks outperformed bigger firm worth shares between 1927 and 2001.
c) Sustaining a portfolio with a mix of expansion and value stocks frequently is considered a prudent investment decision strategy.
four. During intervals of powerful financial enlargement, which fund commonly performs improved?
a) Expansion.
b) Worth.
c) Neither.
d) Both of those.
five. In most cases, worth funds outpaced expansion money in 2000 and 2001.
a) Genuine.
b) False.
6. Generally speaking, development funds outpaced worth resources during the nineteen nineties.
7. Which kind of fund is much more possible to invest in stocks paying out a big dividend?
eight. Bigger price tag-to-earnings ratios Usually might be linked to stocks in which kind of mutual fund?
nine. Which kind of stock is explained in this example: “Recognized baked-products company with strong stability sheet and great cash movement experiencing non permanent drop in response to changes in senior management.”
10. What sort of inventory is explained in this example: “Program firm, enjoying continuous profits will increase, is in the entire process of rolling out an eagerly predicted update to a favorite computer software application.”
Crucial: one(c); 2(c); three(d); four(a); 5(a); 6(a); seven(b); 8(a); 9(b); 10(a).