Step 1) Spin the wheel to see how much money you have to invest.
What were your results?
Inheriting $10,000_____________________________________________________
Step 2) Fill out investing chart. These websites can help you msn.money, Yahoo Finance, Bankrate, investopedia, Market Watch Getting started.
Type of Investment Description—explain what it is and how it works. Level of Risk and Potential Return—explain. (How likely are you to lose your money vs make money) Real-life example of this investment (name or company) Minimum investment amount or time? Easy to start or stop investment? Discuss.
CD A more effective form of savings account that will safely hold money and gain interest but can …show more content…
Is buying a part ownership/stake in a company or business. Prices are constantly rising and falling which requires regular attention, has potential for heavy loss. Also can return a lot extra if company does exceptionally well. E*Trade
(company) Usually you can't just buy one stock—must invest a minimum dollar amount. For a large company like McDonald's, the high start-up cost deters personal investors ($50,000 in 2012).
Bonds A loan to a specific company that has a set minimal amount and time limit. Is considered a moderately risky investment and depends greatly upon the specifics to determine worth. 30-Year Treasury Bond—U.S. Department of the Treasury Must follow allotted time/amount that was determined in beginning stages. Fairly easy to open, but very difficult to end with positive outcome before set time.
Mutual Funds Listed as being a moderate investment. Is spreading out funds between multiple companies. The risks and reward are fairly balanced in that significant gains or losses can occur. But is considered good because of the multiple company aspect. …show more content…
Made with a legal binding process that includes amounts and dates. High (Aggressive)—Have a potentially large return relative to other investments but also are considered the riskiest. Rosenthal Collins Group
(company) A minimum investment is determined by the product in question. The fact of a certain amount on a certain product at a certain time is heavily stressed.
Traditional Bank Account An average account mainly for easy access/ holding funds. Will not make much in interest and is considered a conservative investment. Not likely to lose much unless bank charges for account and account use (checking). Has possibility for identity theft. But is user friendly and offers quick access to funds. Checking
(example),
Wells Fargo
(company) Have to have minimal amount to keep account open. May have to pay more for certain services. Is very easy to keep account and start or stop one, as well as transferring between others.
Step 3) Essay
Choose three investment options from the chart for your money. Describe your investment plan in a detailed paragraph. Be sure to include responses to the following questions:
Explain how you obtained the money for investment. (From the spinner