Written by the Fiveable Content Team • Last updated September 2025
Verified for the 2026 exam
Verified for the 2026 exam•Written by the Fiveable Content Team • Last updated September 2025
Definition
Assets refer to the value or resources owned by an individual or entity. In the context of a stock trader, it represents the total value of investments, cash, and other holdings.
Related terms
Liabilities: Liabilities are debts or obligations that an individual or entity owes to others. These are subtracted from assets to determine net worth.
Portfolio: A portfolio is a collection of investments (such as stocks, bonds, etc.) held by an individual or organization.
Net Worth: Net worth is calculated by subtracting liabilities from assets and represents the overall financial position or wealth of an individual or entity.