Curricular Response

1. Stock vs. Bond
   • a. What is the diffference between a stock and a bond?
     • Stocks give you partial ownership in a corporation, while bondsare a loan from individuals to a company or goverment
   • b. Which security tends to have the best returns?
     • Stocks, bonds, and mutual funds tends to have higher returns than saving products. However, all have highter risks
2. Risk
   • a. How are risk and return connected?
     • The greater the risk, the higher the potential for profit or loss
   • What are some steps you could take to mitigate risk while investing in the stock market?
     • diversification of protfolio, staying invested for long term, analysing company’s background and performance, etc
3. Balance
   • What does it mean to have a “well balanced portolio”?
     • combine assest classes in a portfolio in an attempts to balance risk and return
   • What is “rebalancing” a porfolio and why is it important?
     • adjusting the weighting of the different asset classes in one’s investment portfolio
     • it helps to maintain the original asset allocation strategy and allow one to implement any challenges one makes to the investing style.

Core competency Self Assessment

1. How much information did you use to help you with your decision-making process?

Find the core of topic, and try to find the various way to get the answer. Then I think about whether it is useful and improved me.

2. Has investing become a more approachable or attainable concept to you?

yes. I think I am now on a process of slowly getting used to the basic concept of finance.

3. What is something that you have learned which you have changed your mind about?

Stock and band was totally unfamiliar concept to me. However, as I learned about searched about it, it becomes friendly and I feel like more confident that I can do investing one day when I grow up.