Tuesday, 16 June 2015

June 16, 2015

Science test tomorrow.  STUDY

Financial Literacy
Factors that cause stocks to go up:
- lower interest rate
- government prints money (Quantitative Easing)
- higher profit

Factors that cause stocks to go down:
- higher interest rate
- higher tax rate
- lousy profit/ loss

% in stock = 100 – your age
(e.g. Danny is 7, and he should have 93% in stock
Grandma is 65, she should have 35% in stocks.  The rest is in bonds, and cash)
- less exposure to stock markets as we age.

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