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Select the term associated with stocks that corresponds to each of the given descriptions. (Hint: These are not necessarily complete definitions, but there is only
Select the term associated with stocks that corresponds to each of the given descriptions. (Hint: These are not necessarily complete definitions, but there is only one possible answer for each description.) Description Asset allocation Diversification This refers to the process of reallocating your investment into assets so that you can maintain the risk exposure you prefer Dividend reinvestment plan (DRP) Dividend yield This is an authorized document that allows another person to vote instead of the owner of the stock. Proxy This ratio shows how much a company paid out in dividends each year relative to the price of the share. Rebalancing This is the term used to describe how to divide your investments among different asset classes. Risk-free rate of return Stock dividends This is a plan offered by companies that allows stockholders to reinvest their cash dividends into additional shares of the company's stock
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