Step 1 of 10

1. What do famous investors Warren Buffett and Charlie Munger say is the number one rule of investing?

• You can't beat the market
• Don't lose money
• You can't time the market
• Pigs get fat, hogs get slaughtered

Step 2 of 10

2. When thinking about investing, what annual rate of return should you look for from your investments?

• The same as the market since it’s too hard to beat
• 5-10% as most financial advisors say
• The amount necessary to achieve my financial goals

Step 3 of 10

3. What did Warren Buffett say about professional money managers?

• “Diversification is only required when investors do not understand what they are doing.”
• "Even the intelligent investor is likely to need considerable willpower to keep from following the crowd."
• "Far more money has been lost by investors in preparing for corrections, or anticipating corrections, than has been lost in the corrections themselves."

Step 4 of 10

4. The best way to minimize risk according to Warren Buffett is...

• Buy good stocks and hold for the long term
• Diversify across asset classes
• Dollar-cost average your investments every paycheck
• Buy a few wonderful companies that you understand well and only when they’re priced below their value

Step 5 of 10

5. Options and Derivatives are...

• Dangerous ways to lose money
• An effective way to decrease risk and increase income
• Only to be used if you know what you're doing
• All of the above
• None of the above

Step 6 of 10

6. The average American can save their way to wealth...

• True
• False

Step 7 of 10

7. Independent investors look at a market crash as...

• A time to pull your money out
• A time to actively trade and be in the market
• A time to come out on top by waiting until businesses on their watchlist reach the “on-sale” price

Step 8 of 10

8. As famous investor Charlie Munger said, you make money...

• ...when you buy
• ...when you sell
• ...when you wait

Step 9 of 10

9. When choosing the right companies for your stock watchlist, what should you be looking for?

• If the company is growing right now
• The 4 Ms: meaning, moat (safe from competitors), good management, and a margin of safety
• If your friends are investing in that stock

Step 10 of 10

10. To get rich in the stock market you should...

• Have an Ivy League education
• Get lucky
• Have knowledge and a lot of patience
• Trade on inside information