BUSINESS FINANCE STOCKS – owning a portion of a company

- claim of corporation assets

EXAMPLES OF INVESTMENTS - investors purchase them to share in the profits, pr because they
 Stocks will increase in value, or both.
 Bonds TWO MAIN WAYS TO MAKE MONEY FROM STOCKS
 Currencies 1. Capital Gains – increase in value so one day, sell them for a profit.
 Funds 2. Dividends - profit with shareholders
 Deposits - each share owned, quality to receive a certain amount of
 Real Estate money.
 Gold
REAL ESTATE – houses and apartments that are purchased to rent out or
sell are investment
EXAMPLES OF PUBLIC INVESTEMNT
- hotels, apartment, building, condo, subdi.
1. Government Bonds – debt investments where an investor loans
money to an entity which borrows the funds for a defined period of
PRECIOUS OBJECTS – gold, gemstone, impressionist painting, signed,
time at a variable or commonly, fixed interest rate.
antiques, vintage, luxury brands.
- Loans you give to the government, paid with
interest.
BUSINESS – money put into starting and running a business is an
2. Deposits and Account – deposits into Government regulated bank
investment
that earn interest such as Certificate of Deposits (COD) and
government stocks.
SAVINGS ACCOUNT - investor is essentially lending money to the bank.
- Central Bank of the Philippines (CBP) –
Pay interest to account holder and will earn its profit by loaning out the rest
Government agency that regulates
of the money to businesses at a higher rate of interest.
Investment Company.
BONDS – loan type
EXAMPLES OF PRIVATE INVESTMENT
- lending money to the issues and will pay back with interest/
1. Stocks – inventories
coupons.
-type of security that signifies ownership in a corporation and
classified under two main categories; Common Stocks and
CERTIFICATE OF DEPOSIT (COD) – it need loan for deposits
Preferred Stocks.
- time deposit sold by banks, thrift institutions.
2. Corporate Bonds
- savings account that holds a fixed amount of money for a fixed period
3. Futures – allow traders to lock in a price of the underlying asset or
of time, and in exchange, the issuing bank pays interest.
commodity.
-contract between traders and owners
RETIREMENT PLAN – designed to sustain oneself during retirement will
-has expiration dates and set prices
allow retirement savers to grow their money with certain tax advantage.
EXAMPLES OF COMMODITY FUTURES
Crude
Oil
Wheat
Natural gas
NORMAL SAVINGS ACCOUNT – no debt, no COD/ CD ACTIVITY
1. Denise is planning to invest
MONEY MARKET FUNDS – similar to savings account and can be
purchased at a bank/ credit union. The difference is that the investor
commits to leaving the money alone for a period of time in return for a
slightly higher rate of interest.
- Can write checks out of money market
accounts.