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Anna believes that if she does not perform perfectly in all her courses that her family and friends will not love her anymore, while Ricky stays angry because life is not the way he wants it to be and feels that he is constantly being treated unfairly by everyone he meets.These two people are exhibiting the core ideas that underlie
Diversified Portfolio
An investment portfolio composed of a variety of assets to reduce exposure to risk associated with any single asset or industry.
Capital Gains
The profit earned from the sale of assets or investments, such as stocks or real estate, measured by the difference between the sale price and the original purchase price.
Interest Rate Risk
The potential for investment losses due to changes in interest rates.
Zero-Coupon Bonds
Bonds that do not pay periodic interest and are issued at a significant discount to their face value, maturing at par value.
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