MCS 2100 Lecture Notes - Lecture 10: Real Estate Investment Trust, Preferred Stock, Savings Account

• School: University of Guelph
• Department: Marketing and Consumer Studies
• Course: MCS 2100
• Professor: May Aung

Document Summary

Must be specific and measurable, while being tailored to personal financial needs. Some financial planners suggest goals be stated in terms of money, others suggest investors are motivated to work towards goals in terms of things they desire (i. e a house: investment goals helped by 9 questions (see pg 294-5) Goals always oriented towards future: can use short term, intermediate, long term categories to help planning. Personal financial affairs should be in good shape before making first investments. Below are factors to consider: work and learn to save to balance your budget. People must learn to leave within their means before investing. Doesn"t make sense to start investment program until credit card/installment purchases, along with accompanying finance charges are reduced or eliminated: general rule: limit installment payments to 10% of your monthly pay after taxes. By doing this cash after bills will increase and can be used to begin a savings program/investment.