Monday, October 3, 2011

Vocabulary 3

9.   RISK-  the chance that an investments earnings will be different than expected.
- Some risk always goes along with purchasing any stock.

10.  SMALL CAP-  stocks with a relativley small market capitalization.
Small companies that are small cap, have a greating potential to grow but also have a greater potential to go bankrupt.

11.  MID CAP- stocks with an average market capitilization.
- The companies market capitilization is $5 billion so it is a mid cap company.

12.   LARGE CAP- stocks with the biggest market ccapitilization.
- The companies market capitilization was $20 billion, so it was a large cap company.

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