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The labels “growth” and “value” reflect different approaches that can be used when making investment decisions.
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Zero-coupon bonds represent a type of bond that does not pay interest during the life of the bond.
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An important element to successful investing is to manage investment risk while maintaining the potential for growth.
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Bonds are issued by many entities and share many characteristics, each type of bond has certain benefits and risks.
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A bond is simply evidence of a debt from a government entity or a corporation and represents a long-term IOU.
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Bond ratings gauge a bond issuer’s financial ability to repay its promised principal and interest payments.
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Stock market indexes can be useful benchmarks for gauging the performance of an investment portfolio over time.
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The difference between purchasing an individual stock versus shares in a mutual fund to potentially earn dividends.
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A mutual fund is a collection of stocks, bonds, and other securities with certain benefits and risks.
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With closed-end funds, investors pool their money together to purchase a professionally managed portfolio of stocks and/or bonds.
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It’s important to understand mutual fund loads, or sales charges, and exactly what they entail so you can make informed investing decisions.
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Understanding different types of investment risk can help investors manage their money more effectively.
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There are five broad asset classes that you should take into consideration when constructing your investment portfolio.
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Asset allocation is a method used to help manage investment risk; it does not guarantee a profit or protect against investment loss.