Mutual Fund Analysis Assignment
Mutual Fund Name
US Bond Index
Objective of the Fund
Seeks to provide investment $11.34
results that correspond to the
total return of the bonds in
the Barclays Capit
Family Financial Issues
Family financial issues
Discuss and list financial questions
Marriage, Divorce, Children
PRIOR to marriage:
Why the concern?
Why the concern?
for you and your partner
Standard of Living and Incomes
Wealth is not what we make
its what we KEEP!
Tax Issues for FCE 238
Taxable Income and
Marginal Tax Rates
What is income?
Interest (taxable, not tax exempt)
Dividends (ordinary, not qua
Making an informed
Typical First Time
Age: 32 years old
How much house can I
Annual income: $54,800.
How much are lenders
willing to lend?
Cost of home: $136,000.
Nat'l. Assn. of Realtors
*First time home buyer
The Earning Power of Education
What is $298,680?
The Cost of Raising a Child
(to age 18)
Expenditures on Children by Families
You have stuff.
Someone gets your
Jane Bryant Quinn
Guardianship - personal care and medical decisions
Conservatorship - financial decisions
2. Durable Power of Attorney
General Durable Power of Atto
Chapters 13, 14, and 16
What is our experience?
A. I own or have owed individual stocks.
Bonds, Stocks, Mutual Funds
B. I have not owed individual stocks at any time.
Stocks - Different than Bonds
Savings, CLOSE to your goal. LOW risk. OWN
- ership - Eq
Why savings? Terms Time Value of Money Features
Checking Money Market Accounts Certificates of Deposit
Laddering of CDs Savings Bonds
A. Paying o! debt is a form of savings! B. Pay yourself FIRST!
Every day I get up and look through the Forbes list of the richest people in America. If Im not there, I go to work.
Robert Orben, Comedy Writer
Two elevators: Which would you choose?
What is a Mutual Fund? How do they work? Fees: internal a
Topics to Cover
Men, Women, & Money.
Marriage & Money.
Nothing CLEAN to wear
Nothing NEW to wear
We need a solution
We need to talk
Mr. Fix It
Which one to choose?
How does retirement look?
Which one to choose?
Why worry about r
How much life insurance do I need?
asked the student.
Tell me exactly when you will die.
replied the teacher.
Face Amount = Dollar coverage in the event of
death of the policy holder.
Policy = the doc
Journal Article Review
This article was very informative about why people make rash, quick decisions. This is a
very important concept when it comes to financial situations. The article is trying to explain why
our brain acts the way it do
o Set reasonable debt limits for yourself
o Know the best sources of credit
Good uses of credit:
o For convenience
o For emergencies
o To make reservations
o To won expensive products sooner
o To take advantage of free credit
o For protection ag
Alternative Credit Report Analysis Assignment
I do not have any credit yet as of now. I am in the process of getting a credit card
currently, to receive and build my credit. As a side note, there were questions mark boxes above
the months in the first two
Paying off your
Impacts on future finance decisions
Types of loans
Eyes Wide Open.
Expect to work, have a job.
Good debt vs. Bad debt
Which item does NOT belong
on this list?
What was the closing price of Google on
Wednesday, Feb 17, 2010?
Do you know the IPO price on
August 19, 2004?
a. Dow Jones Industrial Average
b. New York Stock Exchange
c. Russell 2000
d. Nikkei 25
Sharing the risk with
others: Mutual Funds
I Clicker Question
Which type of mutual fund would have the
lowest internal fees - ie, 12(b)1 fees and
money manager fees?
No Load, Index Mutual Funds
Amount Needed $35,000
When it is Needed 8 years
Why you Need it A 25% down payment on a house that is valued at $140,000 by the time I am 27 years old.
Monitor it $35,000/8 = $4,375 per year or $365 a month
I want to pay off my school lo
What kind of car do you THINK your Personal Finance Instructors drive?
Budget (Map or Monitoring Tool)
Future Orientation to meet your financial GOALS
Value Differences Unrealistic Goals Emotional Uses Unplanned Events Communication
What is a Mutual Fund? How do they work? Fees: internal and external Styles of Mutual Funds Allocation Mix Prospectus Rating of Funds Why Mutual Funds? Dollar Cost Averaging New Developments ETF's Principles of Investing
Income and expense statements - Fair Market Value- what any buyer will give any given seller on any given day - Examples of fixed expenses - Child care - Mortgage payment - Car Payment - Rent - Disposable income- Money earned after taxes - Discretion
-GR(e)=GR(Pf)-GR(P) -GR(M)+GR(V)= GR(P) GR(Y) . GR(X) is gr of X?means M=money suppy V=velocity -adv standard living=ratio output to population.if stand living Dec. then output must be dec. -Next X low when real exchange rate is high -Next Xports hi
Student Loan Notes 11/29/07 -Get an education from student loans and gaining experience Impacts: Ability to obtain credit o Debt to income ratio: DEBT= < .16- .20 of income Ability to obtain mortgages o Housing: DEBT payments/Income < .28 monthly GRO
Personal Finance 9-25-07 Investment Fundamentals The world has changed: YOU have become responsible. Retirement Planning College planning for children Estate planning for family Investing vs. Savings Bonds, stocks, and mutual funds are right above sa
9/11/07 Notes Payment History Issues Issue Joint Owner Authorized signature Inactive cards
Pro Helps Helps
Con Liability Not Liable
Shows less than 50% usage Only used in Computation if in last 3 months
Keeping credit cards under your 50% limit i
Personal Finance Chapter 5 Monetary Asset (Cash) Management- encompasses how you handle all of your monetary assets, including cash on hand, checking accounts, savings accounts, money market accounts, other short-term investment vehicles, and longer-
Personal Finance Exam #3
Retirement 3 cornerstones of retirement planning- personal, government, employer Traditional IRA- income limited, age limited, tax deductible but taxes paid at withdrawal, maximum contribution, taxed to beneficiari