Guest post by student: E Lindley
Becoming a millionaire and how to invest
In this unit we learned about investing. Some main points include…
- The concept of Paying Yourself First (PYF)
- The Stock Market ~ Something new I learned was the bull market and bear market. Bull market is when a group of securities prices are expected to rise and a Bear market is a general decline in stock market over a period of time. We did a stock market simulation, learned about private and public corporations, and the different stock exchanges.
- Other investment topics included risk, rate of return, and liquidity, mutual funds, real estate, ways to maximize your investments using diversification, time value of money, compound interest, and the Rule of 72. I learned that the Rule of 72 is a rule stating that in order find the number of years required to double your money at a given interest rate, you divide the compound number into 72.
- General topics covered were saving vs investing, KISS, FDIC (and risk), and simple vs compound interest.
In this unit I learned a lot for my financial future!