Business English Lesson – Advanced Level''''s archiveAsset Classes potx

Business English Lesson – Advanced Level's archive
Asset Classes
1. Cathy Smart and the investment analysts at 401k
Forum help you get down to the with this article
about the different asset classes.

baseline
basement
basics
basis
2. Asset classes are the categories that your different
investments into — such as cash, bonds, large-cap
stocks, small-cap stocks, and international stocks.

fall
fan
sift
sort
3. Studies have shown that the key to successful investing
is to your wealth among different asset classes.

diverge
expand
range
spread
4. Market capitalization (market cap) is a measure of the
size and value of a company; to determine this, you simply
multiply the number of the company's shares of
stock by the market price of one share.

corporate

individual
open market
outstanding
5. Market capitalization is important because history has
shown us that the stocks of companies with different
market caps differently in terms of return and risk.

behave
comply
gain
operate
6. Cap-size shift: mid-cap stocks may have once been
defined as large cap, but fell out of with investors.

concern
favor
line
satisfaction
7. Mid-cap stock performance usually falls somewhere in
between the returns of their large- and small-cap

companions
counterparts
replicas
surrogates
8. However, mid- and small-cap stock returns tend to be
more than the returns of large-cap stocks.

vaporous
volatile

voluminous
voracious
9. If a smaller company loses a few key executives, or if
the economy takes a for the worse, it only takes a
few nervous investors to cause the stock to drop
drastically.

dive
path
step
turn
10. can reduce your risk and help protect your
investment: if one asset class in your portfolio is
performing poorly, there's a chance that another asset
class within your portfolio will be performing well.

Departmentalization
Differentiation
Distribution
Diversification