Management and Organizational Studies 2277A/B Lecture Notes - Lecture 10: Tax Bracket, Systematic Risk, Weighted Arithmetic Mean

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 2277A/B
• Professor: Nicholas Kahnert

Document Summary

Wednesday, november 18, 2015. Investment program: should be a well- conceived specific and strategic approach to achieving your goals. Want: house, education, vacation, start a business retirement. Make sure short term requirements are taken into consideration. Invest /month for 20 years. Let it grow for another 23 years. Return of 7% apr c. p. monthly. Example:wait until 35 years old. None- low, could be negative if inflation higher. Must change together, to compensate for increased/decreased risk. Govern ment has the ability to tax & print money. Risk increased/decreased risk ment has the ability to tax & print money. Liquidity premium: willing to give up more for more liquidity. Ability to access funds quickly. & at fair market value. Willing to invest as opportunities come up. Bonds, preferred shares large cap stock, real estate (growth and income) Eggs not in one basket ment has the ability to tax & print money.