BM 410-1 Day One Notes and Objectives s1

BM 418 Day 15 Notes and Objectives

Sudweeks

Fall 2009 October 20, 2009

Winter 2010 February 25, 2010

Introduction

Welcome to class

It is great to be here

Day 15 Objectives

Investments 2: Your Investment Plan

A. Understand the Importance of Financial Goals and How to Set Them

B. Understand the Importance of your Investment Plan and How to Prepare It

C. consider index funds as useful financial assts

C. Beware of “Get Rich Quick” Schemes

Investments 3: Securities Markets Basics

A. Understand the different types of securities markets

B. Understand the basics of brokers and investment advisors

C. Understand how to buy and sell securities

D. Understand how to choose a broker or investment advisor

Non-teaching activities

Review Teaching Tool 5A and 5B – Investment Plan Instructions

Active Learning Strategies

Investment Plan Assignments: (2-slides 3-5)

Put 27 Feb 2008 memo from First Presidency on overhead and read it.

How do you build a “sleep-well” portfolio? How to eliminate “fear/greed”? What should it entail?

Divide class into same groups as before (2-3 minutes)

Ask: We discussed Principles first. Now what things should your investment plan include, i.e. what should you be concerned about to minimize the chance for scams/mistakes and allow you to sleep well? (write it on the board)

WorldCom: employees put 90% WorldCom stock in 401k plans–not wise

Each group come up with 2 things that investment plan should include, then discuss one at a time: Acceptable, benchmarks, asset allocation, investment strategy, funding, new investment

Overheads: TT05A Your Investment Plan

Go through it and talk about the sections: Have them bring it up on their computers

Commercial: SNL Broker straight talk (open with Windows Viewer)

Ask: What are brokers needed for?

Show: Salesmen versus trusted advisor PPT (3-slide 50)

Discuss: Buying securities and types of orders

Show: Buying and Selling Stocks (3-slide 21)

Show: Buying and Selling Load Mutual Funds (3-slide 22)

Show: Buying and Selling no-Load Mutual Funds (3-slide 23)

Case Studies

Case Study #1 – Selling short

Case Study #3 – Buying on margin

Summary and Final Thoughts:

Share summary and final thought

Notes:

Winter 2010

We went over the assignments, then showed the Memo from the First Presidency. I asked how we build a “sleep-well portfolio”. I emphasized that we needed to eliminate fear and greed, and that now was the best time to do it. I told of World com employees and 401k plan, then I divided into groups. What should the Investment Plan entail to save us from ourselves and other? I wanted applications, not theories. I told about had each group tell us what the plan should include. I got comments from each group, then expounded on each comment. Then we went through the new Investment Plan on the overheads, and talked through that. I did the SNL commercial, which the students liked. Then I went into the “How to Buy/Sell PowerPoints, and ended with the case studies. Reviews: 6,7,7,7,7,7,7,8,8,8,8. Thoughts: Leave more time for case studies, have definitions of asset classes, add more case studies.

Fall 2009

Winter 2009

We went over the assignments, then showed the Memo from the First Presidency. I asked how we build a “sleep-well portfolio”. I emphasized that we needed to eliminate fear and greed, and that now was the best time to do it. I told of World com employees and 401k plan, then I divided into groups. What should the Investment Plan entail to save us from ourselves and other? I told about had each group tell us what the plan should include. I got comments from each group, then expounded on each comment. Then we went through the new Investment Plan on the overheads, and talked through that. I did the SNL commercial, which the students liked. Then I went into the case studies. It seemed to go well. Reviews: 6,7,8,8,8.

Fall 2008

We went over the quiz, then talked about sleep-well portfolios. I emphasized that we needed to eliminate fear and greed, and that now was the best time to do it. I told of world com employees and 401k plan, then I divided into groups. What should the investment plan entail? I told about had each group tell us what the plan should include. I got comments from each group, then expounded on each comment. Then we went through the new Investment Plan on the overheads, and talked through that. I did the SNL commercial, which the students liked. Then I went into the case studies. It seemed to go well. Reviews: 8.

Spring 2008

Winter 2008

We went over the quiz, then read the letter from the first presidency. I talked about scams and avoiding problems, then discussed investing versus gambling. I divided into groups. I told about had each group tell us what the plan should include. I got comments from each group, then expounded on each comment. Then we went through the new Investment Plan on the overheads, and talked through that. I did the SNL commercial, which the students liked. Then I went into the case studies. It seemed to go well. Reviews: 8.

Fall 2007

No quiz today. I talked about investing then divided into groups. I told about had each group tell us what the plan should include. I got comments from each group, then expounded on each comment. Then we went through the new Investment Plan on the overheads, and talked through that. I did the SNL commercial, which the students liked. Then I added the section on questions for a financial advisor, then the trust advisor versus the salesman, and ended with Get Rich Quick schemes. I should also add a section for buying bonds. It seemed to go well. Reviews: 7.

Spring 2007

I talked about the quiz, with geometric and arithmetic returns. I then divided into groups. I told about had each group tell us what the plan should include. I got comments from each group, then expounded on each comment. Then we went through the Investment Plan on the overheads, and talked through that. I did the SNL commercial, which the students liked. Then the slides of buying stocks, versus load funds, versus no-load funds. I added the section on questions for a financial advisor, then the trust advisor versus the salesman, and should have ended with Get Rich Quick schemes (but didn’t). I should also add a section for buying bonds. It seemed to go well. Reviews: 6,8.

Winter 2007

Fall 2006

I did the quiz, then divided into groups. I had everyone tell horror stories, then we had each group tell us what the plan should include. I probably should just tell more stories and then we can put the plan together. Then we went through the plan on the overheads, and talked through that. I did the SNL commercial, which the students liked. Then the slides of buying stocks, versus load funds, versus no-load funds. I probably should add a section for buying bonds. It seemed to go well. Reviews: 7 but dry.

Spring 2006

I started with talking about what their investment plan should be like, then got out the overheads, and went through the Investment Plan. That seemed to work well. I then put up the clipping on 12DailyPro scam, and the principles they violated. I wanted to show Saturday Night Live, but the sound didn’t work, so I talked about brokers, and showed how to open an account and move money. I ended with types of orders. .

Winter 2006

I started with talking about what their investment plan should be like, then got out the overheads, and went through the Investment Plan. That seemed to work well. I forgot red pens, but that was OK. It went well. I then put up the clipping on 12DailyPro scam, and the principles they violated. Then I showed Saturday Night Live, and talked about brokers, and the trusted financial broker. I ended with types of orders. While disjointed, it worked OK.

Fall 2005

II started with the quiz, then asked what a personal financial plan should be like. We went through ideas on the board, and wrote down key points. Then I went through TT5 and showed them the pieces. I think it worked out OK. Then I did the SNL Broker talk, and asked what these people did wrong—didn’t compare. Then I showed the trusted advisor versus the salesman, I forgot to do the types of orders. Review: 8,7,7

Spring 2005

I started with story of GPS and 50-20 hike, then went into goals and the Investment Plan. I went through the teaching tool, used someone as an example of determining their asset allocation (and referred to their risk tolerance test). I then played the SNL Brokers talk, and did the trusted financial advisor versus the salesman. Then I let the class go, and answered questions for everyone that stayed. It seemed to work out well. Reviews: 7,8

Winter 2005

I started with financial goals, then brought out the GPS. Talked about how the GPS helped us, and related it to investing. I then told about a student, and shared each of her 3 goals, car, down payment, and retirement, and how we could help her to achieve those goals. Read the WSJ articles of IPS, and asked about the road map and what it should be. Then I went through TT04 and each part. Then I showed the SNL Brokers talk, which is really funny. I talked about how this broker lied to me, and how I never did any business again with him. Then I talked about buying securities, and how that worked, and types of orders, telling about Samsung electronics and Thai Farmers Bank. Then I finished with the trusted advisor versus salesman. Reviews: 7,8: 6,4,7 I may need to let those out early who feel comfortable with the material.

Fall 2004

I started with a discussion of goals, and how the only difference is that financial goals are personal goals with a cost attached. Then I brought out a GPS. I talked about how nice it was to have one, and asked if anyone else had one. We talked about an internal GPS, the spirit, and then we talked about our GPS for investing—the Investment Plan. Then we went through each of the major sections talking about what was included and why. Then I showed the IPS on the board. Then I played the Saturday Night Live Brokers Talk, which was funny. Then we talked about brokers, and what they needed brokers for. It was different as I didn’t use the PowerPoints, but did it all on the board. Reviews: 5,7,8

Spring 2004

I started with the financial goals section, then talked about what the “road map” should do. We put what it should do, mistakes it should help us not make, and then we went over it on the board by section, discussing why it was so important. Then I brought up the investment plan on the net, and talked about it. We then went into the “Get Rich Quick” schemes, and went through that section. I finished on working with brokers. Reviews: positive but not graded

Winter 2004 Section 1

We had the group presentation, then talked on the importance of financial goals. Then I went into the Investment plan overview. Finally, I went into the investment plan Word document and we talked about it one section at a time. I tried to have stories to explain each of the sections. After that, we went into the get-rick-quick schemes, and why they should avoid them. We then went into the difference between a broker/financial advisor and a trusted financial advisor, with the hope they can find trusted people. Reviews: 6,6

Winter 2004 Section 2

I did the same, although I added a section on where you can buy specific financial assets, i.e. which require brokers and which do not. Then I did the same. I had more time, so I winged the section on what kind of an investor are you, and what do you need. Oh well—I need to refine that section. Reviews: 7,7,8

October 28, 2003