UNDERSTANDING BUSINESS (LL/ACCESS)
UNDERSTANDING BUSINESS (LL/ACCESS)
13th Edition
ISBN: 9781264671656
Author: Nickels
Publisher: MCG
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Chapter 19, Problem 4CT
Summary Introduction

To think critically about: The advantages and disadvantages of ETF’s over mutual funds.

Introduction:

Investing is an activity of putting money into financial schemes, property, stocks, or a property with the expectation of achieving a return on it.

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If you were thinking about investing in the securities market, would you prefer individual stocks, mutual funds, or ETFs? Explain your choice by comparing the advantages disadvantages of each.
Now that we've looked at the operations of the stock market, let's review how well we can predict the future.   If you had an aunt who offered to buy you 50 shares of any stock you desired, which company would you choose, and why would you select them?  Part of your post should address 1. the current price and 2. if you intend to hold on to the stock for a long time or see it as a short term investment. While I won't be in touch to remind you, write down the particulars of stock somewhere and check it out around the same time next year... see how you did "in the market"!
Read the article “How To Overcome The Fear Of Investing In The Stock Market” on the College Investor website and answer the following questions. Please provide explanations for your answers.   Do you fear investing? If yes or no, explain why. Can an effective asset allocation strategy assist in overcoming the fear of investing? In your opinion, which is worse – not investing at all or investing close to retirement?
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