Download - Investment Planning
![Page 1: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/1.jpg)
![Page 2: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/2.jpg)
INVESTMENT GOALS
Home Ownership College Funding Retirement Planning
$2,500 Annual Investment
6% Return7 Years
$20,000Down Payment
$100 MonthlyInvestment
6% Return10 Years
$16,000For Tuition
$145 MonthlyInvestment
6% Return 25 Years
$100,000For Retirement
3636
![Page 3: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/3.jpg)
YOURINVESTMENT GOALS
3636
1.1.
2.2.
3.3.
4.4.
![Page 4: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/4.jpg)
3737INVESTMENT SPECTRUM
LOWER RISKLOWER POTENTIAL RETURN
HIGHER RISKHIGHER POTENTIAL RETURN
CASHEQUIVALENTS
FIXEDINTEREST
BONDS STOCKS
![Page 5: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/5.jpg)
SOURCES OF RISK
InflationInflation
Interest rateInterest rate
EconomicEconomic
MarketMarket
SpecificSpecific
![Page 6: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/6.jpg)
SAVINGS OPTIONS
CDS & SERIES EE SAVINGS BONDS
MONEY MARKET
FUNDS & ACCOUNTS
![Page 7: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/7.jpg)
TAX-DEFERRED ALTERNATIVES
AnnuitiesAnnuities
ACCUMULATIONPHASE PAYOUT PHASE
![Page 8: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/8.jpg)
VARIABLE ANNUITIES
STOCKS FIXED INTEREST
BONDS MONEY MARKET
![Page 9: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/9.jpg)
ADVANTAGES OF TAX-DEFERRED GROWTH
$1,000 at 8% in 28% tax bracket
$1,000 at 8% tax deferred
Tax-deferred account after taxes
10 years 20 years 30 years 40 years
$1,751 $2,159$3,065
$4,661 $5,366
$10,063 $9,394
$21,725
$15,922
![Page 10: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/10.jpg)
BONDS
VALUE OF
BOND INTEREST RATES
![Page 11: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/11.jpg)
TYPES OF BONDS
TreasuryTreasury
MunicipalMunicipal
CorporateCorporate
4141
![Page 12: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/12.jpg)
STOCKS
CAPITAL
CORPORATION
DIVIDENDS, CAPITAL GAINS
INVESTORS
![Page 13: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/13.jpg)
HOW YOU CAN MAKEMONEY IN STOCKS
4242
1.1. DividendsDividends
2.2. Capital gainsCapital gains
![Page 14: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/14.jpg)
MUTUAL FUNDS
Income-orientedIncome-oriented
Growth-orientedGrowth-oriented
![Page 15: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/15.jpg)
ADVANTAGES OF MUTUAL FUNDS
1. 1. ConvenienceConvenience
2. 2. Professional managementProfessional management
3. 3. FlexibilityFlexibility
4. 4. DiversificationDiversification
4444
![Page 16: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/16.jpg)
MUTUAL FUNDS CHECKLIST
ObjectivesObjectives
Past performancePast performance
Fees and expensesFees and expenses
TaxesTaxes
![Page 17: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/17.jpg)
DIVERSIFICATION
![Page 18: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/18.jpg)
DIVERSIFICATION
ValueTime
STOCK
BOND
![Page 19: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/19.jpg)
DOLLAR COST AVERAGING
![Page 20: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/20.jpg)
DOLLAR COST AVERAGING 4848
Month Investment Share Price Shares Bought
1
2
3
4
5
$100.00
$100.00
$100.00
$100.00
$100.00
$500.00
TotalInvestment
$ 10.00
$ 5.00
$ 2.50
$ 5.00
$ 10.00
$ 6.50
Average Price
10
20
40
20
10
100
TotalShares
![Page 21: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/21.jpg)
COLLEGE INVESTMENT PLANNING
![Page 22: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/22.jpg)
4949THE COST OF COLLEGE
Private Colleges $22,541
Public Colleges $8,470
Community Colleges* $1,705
*(tuition & fees only)
Source: The College Board, 2000
![Page 23: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/23.jpg)
4949WHERE WILL THE MONEY COME FROM?
1.1.ScholarshipsScholarships
2.2.Financial aidFinancial aid
3.3. LoansLoans
4.4.Personal Personal accumulationaccumulation ?
![Page 24: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/24.jpg)
SOURCES OF COLLEGE FUNDS
Academic andAcademic andathletic scholarshipsathletic scholarships
GrantsGrants
Work-study Work-study programsprograms
LoansLoans
![Page 25: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/25.jpg)
PERSONAL ACCUMULATION
Stock and bond mutual fundsStock and bond mutual funds
Zero-coupon bondsZero-coupon bonds
Series EE SavingsSeries EE SavingsBondsBonds
Life insuranceLife insurance
Education IRAsEducation IRAs
Section 529 plansSection 529 plans
![Page 26: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/26.jpg)
QUALIFYING FOR FINANCIAL AID
5252
![Page 27: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/27.jpg)
COLLEGE FUNDING CALCULATOR
5454
Name & Age Current Estimated Futureof the Child College Cost x Cost Factor
Lisa 8 $8,500 8.734 =
Estimated Future Cost
$74,239
![Page 28: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/28.jpg)
COLLEGE FUNDING CALCULATOR
5454
Estimated College Costs Savings Factor Annual Savingsin Future Dollars x (Table 2) = Required
$74,239 0.076 $5,642
![Page 29: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/29.jpg)
5555
![Page 30: Investment Planning](https://reader033.vdocuments.us/reader033/viewer/2022042606/54991833b4795952388b45a1/html5/thumbnails/30.jpg)