Required rate of return
The minimum expected rate of return necessary to induce an investor to purchase a security
Risk premium
That part of a security's return above the risk-free rate of return; greater the riskier the asset is
Index funds
Mutual funds holding a bond or stock portfolio designed to mimic the performance of a particular market index
Technical analysis
The use of specific market date for the analysis of both individual and aggregate stock prices for the purpose of identifying recurring price patterns
Momentum investing
Investing on the basis of recent movements in the price of a stock, which generally means buying stocks that have outperformed the market recently (following the trend)
Fundamental analysis
The estimation of a stock's value using basic data such as its earnings, sales, risk, and so forth
Intrinsic value
The estimated or true value of a security as determined by an investor after examining a firm's underlying variables