Investor Knowledge Quiz

Now that Fall is here, and it’s back-to-school time, we investors can take some time to see how we may fare in Investing 101. The National Association of Securities Dealers (NASD) has, on their website, an Investor Knowledge quiz, consisting of twenty questions to assess the average person’s understanding of investing in the financial markets. The questions vary from the basic understanding of the equity and fixed income markets to some more complex concepts regarding interest rates and options. The quiz also provides interesting information about reasonable expected returns and risk.

Individual and institutional investors alike have many challenges to face, from trying to understand economic indicators and how they impact investment decisions to figuring out what is a reasonable average return on an investment. It can sometimes be overwhelming. Taking a step back to the basics can help investors avoid misconceptions and reinforce positive investing behavior.

To test yourself, go to

http://www.nasd.com/Investor/Education/Quiz/InvestorQuiz.asp