While virtually all American traders comprehend the significance 소액결제정책 of diversifying throughout expansion and benefit investments, number of are able to realize a passing grade over a test of their familiarity with the differences amongst The 2, Based on a new American Century Investments survey.
Test your information with the Growth & Value IQ quiz underneath:
1. Which ideal describes a development inventory?
a) Inventory that provides confirmed level of expansion tied to purchaser price tag index.
b) Stock in a firm specializing in agriculture, lumber, landscaping, and also other organic and natural solutions.
c) A inventory in a business demonstrating much better than average income and earnings gains.
d) Every one of the above.
2. Which very best describes a worth stock?
a) Stock in rapidly-developing company specializing in superior-worth, low-Value goods, like a discount retailer.
b) Stock in an organization specializing in valuable merchandise, like valuable metals and jewelry.
c) Inventory which has a reduced rate-to-e book ratio.
3. Which assertion is correct?
a) Benefit shares outperformed growth stocks amongst 1927 and 2001.
b) More compact company benefit shares outperformed greater firm worth stocks concerning 1927 and 2001.
c) Retaining a portfolio with a mix of progress and benefit stocks typically is taken into account a prudent investment decision tactic.
4. Throughout periods of sturdy financial expansion, which fund commonly performs far better?
a) Expansion.
b) Benefit.
c) Neither.
d) Both.
5. Generally speaking, value funds outpaced advancement cash in 2000 and 2001.
a) Accurate.
b) Fake.
6. Most of the time, development resources outpaced value cash over the 1990s.
7. Which kind of fund is more most likely to take a position in stocks shelling out an important dividend?
eight. Greater rate-to-earnings ratios Typically might be affiliated with shares in which kind of mutual fund?
9. What kind of inventory is described in this instance: “Proven baked-goods corporation with strong stability sheet and superior cash stream going through short-term fall in response to improvements in senior management.”
ten. What type of inventory is described in this instance: “Computer software business, taking pleasure in continual profits improves, is in the entire process of rolling out an eagerly predicted update to a well-liked computer software software.”
Vital: 1(c); 2(c); 3(d); four(a); five(a); 6(a); 7(b); 8(a); 9(b); ten(a).