While many American investors have an understanding of the significance of diversifying across advancement and worth investments, couple have the ability to achieve a passing grade over a examination of their familiarity with the distinctions amongst The 2, As outlined by a different American Century Investments study.
Examination your knowledge with the Growth & Price IQ quiz beneath:
one. Which finest describes a advancement inventory?
a) Inventory that provides certain charge of expansion tied to purchaser rate index.
b) Inventory in a company specializing in agriculture, lumber, landscaping, as well as other organic products.
c) A inventory in a company demonstrating better than ordinary earnings and earnings gains.
d) The entire higher than.
2. Which very best describes a worth stock?
a) Stock in quick-expanding enterprise specializing in superior-benefit, small-Expense merchandise, like a discount retailer.
b) Inventory in a business specializing in worthwhile merchandise, like precious metals and jewellery.
c) Inventory that features a very low value-to-ebook ratio.
three. Which assertion is legitimate?
a) Value shares outperformed progress shares amongst 1927 and 2001.
b) Scaled-down firm worth shares outperformed greater organization value shares concerning 1927 and 2001.
c) Protecting a portfolio with a mix of development and benefit shares generally is taken into account a prudent expenditure strategy.
4. Throughout periods of powerful financial growth, which fund typically performs greater?
a) Expansion.
b) Worth.
c) Neither.
d) Each.
five. Most of the time, value funds outpaced advancement resources in 2000 and 2001.
a) Real.
b) Untrue.
six. Generally speaking, progress resources outpaced value resources in the course of the nineteen nineties.
7. Which kind of fund is a lot more probable to invest in shares paying out a major dividend?
eight. Larger price tag-to-earnings ratios Generally could well be related to shares in which kind of mutual fund?
nine. What kind of stock is described in this instance: “Set up baked-merchandise enterprise with robust harmony sheet and fantastic income stream going through non permanent drop in reaction to improvements in senior management.”
ten. Which kind of inventory is described in this example: “Computer software corporation, experiencing constant revenue improves, is in the process of rolling out an eagerly predicted update to a well known application application.”
Key: one(c); 2(c); 소액결제정책 3(d); four(a); five(a); six(a); 7(b); 8(a); nine(b); 10(a).