Even though many American traders realize the value of diversifying throughout advancement and price investments, handful of can easily accomplish a passing quality over a examination of their understanding of the differences between The 2, according to a brand new American Century Investments survey.
Check your information with the Growth & Benefit IQ quiz beneath:
one. Which greatest describes a expansion stock?
a) Inventory that provides confirmed rate of development tied to purchaser value index.
b) Inventory in a business specializing in agriculture, lumber, landscaping, along with other organic solutions.
c) A stock in a firm demonstrating a lot better than regular income and earnings gains.
d) The entire earlier mentioned.
two. Which greatest describes a price inventory?
a) Inventory in quick-increasing company specializing in high-benefit, lower-cost products, like a reduction retailer.
b) Stock in a business specializing in worthwhile products, like treasured metals and jewelry.
c) Stock that features a reduced price-to-e book ratio.
3. Which assertion is true?
a) Price stocks outperformed development shares concerning 1927 and 2001.
b) 소액결제정책 Lesser firm benefit stocks outperformed greater organization benefit shares involving 1927 and 2001.
c) Preserving a portfolio with a combination of growth and worth shares frequently is taken into account a prudent expense tactic.
four. Throughout durations of strong economic expansion, which fund typically performs better?
a) Development.
b) Benefit.
c) Neither.
d) The two.
5. Generally speaking, price resources outpaced growth money in 2000 and 2001.
a) Accurate.
b) Bogus.
6. Generally speaking, development cash outpaced worth resources through the 1990s.
7. Which type of fund is more very likely to invest in stocks having to pay a substantial dividend?
8. Higher selling price-to-earnings ratios Typically might be affiliated with stocks in which type of mutual fund?
nine. What sort of stock is described in this example: “Established baked-goods firm with solid stability sheet and good funds stream enduring short term drop in response to changes in senior management.”
ten. What kind of stock is described in this example: “Software package business, experiencing steady income improves, is in the whole process of rolling out an eagerly anticipated update to a favorite software software.”
Key: one(c); two(c); three(d); http://query.nytimes.com/search/sitesearch/?action=click&contentCollection®ion=TopBar&WT.nav=searchWidget&module=SearchSubmit&pgtype=Homepage#/소액결제 four(a); 5(a); six(a); seven(b); 8(a); 9(b); ten(a).