I chose to include this video because it introduces bonds to beginners and briefly explains how they work within a short amount of time. A piece of information that I found to be useful was that you can sell bonds to other people before their maturity. Bonds seem to be a strategic way to manage risk, raise capital, and generate profitable returns.

• Corporate Rate: The annual interest a bond pays out

• Maturity Date: The date when the bond issuer will repay what was initially borrowed

• Face Value: The amount the bondholder receives on the maturity date (price you invested into the bond)

• Bond Rating: Indicates the financial strength of the bond issuer. Higher ratings equal the safer the bond. 

Once you have decided which bond is right for you, you can place an order with your broker or bank. It’s important to note that brokers will likely charge trading fees to buy or sell bonds.

I chose this link because it explains to new investors how to purchase a bond and lists key terms to understand when considering the type of bond that is right for them. One piece of information that I found useful was learning about bond ETF’s. Bonds are a new concept to me and after learning about them through this assignment I will do further research on them to consider if they are a suitable investment for me. 

I chose this video because it shares what a stock is to new investors and how someone can purchase shares in a stock. I like that it is a short and straight-to-the-point video that covers the basic information about stocks. I like that it is easy to understand and introduces beginners to information that they can expand on by doing their own research.

I chose this video because it is an Instagram reel. Reels are made to grab people's attention, get a point across in a short amount of time and create visual interest. BD Investing is a content creator that I have been following for a while.  As always, do your own research and risk management should be completed before investing in any stock. A piece of information that I found useful was that the video shares a list of stock/ETF symbol tickers which, I myself, am invested in. This guide is a great example of how to start investing in the stock market.   

I chose this video because it is a great introduction to what a mutual fund is and the types of mutual funds you can invest in. One piece of information that I found very useful was learning about the Fund Facts document. Some research to do before purchasing a mutual fund is to look into the fund manager and taking note of both their past performance and the past performance of the fund. You should also research the fees it will cost you such as management fees and other expenses. What I didn’t know is that the fund facts document provides all that information for you which ultimately makes the necessary research more accessible.

1. What are the mutual fund's goals?

• Make sure the fund’s goals fit with YOUR investment goals

• Does it work with your other investments? 

• Does the fund provide regular income?

2. How risky is the Fund?

• Does the fund fit with your level of risk tolerance 

• How do you react based on price fluctuations?

3. How has the mutual fund performed?

• Past performance is not a guarantee of future performance 

• How consistent has it performed long term?

• How has it performed in different market conditions?

4. What are the mutual funds costs?

• Consider all costs (management fees, fees when buying or selling units)

5. Who manages the mutual fund?

• What kind of education and experience does the portfolio manager have?

• How successful have they been?

• What is their investment style?

I chose this website because I think, just like any other investment, it is important to do your research and ask questions. With mutual funds, you are putting your hard-earned money and trust into a mutual fund that is run by a fund manager, hoping to see a positive return on investment. Personally, it takes a lot of convincing and trust to make sure my money will be in the right hands. I found this whole website to be useful as I have never invested into a mutual fund before and it contains a lot of helpful information to guide me through my investing journey. These questions are useful so you can get a better understanding of the fund and its performance. 

Each has their own rules and regulations that are set by the Canadian government. These are all accounts that you can utilize to your advantage to invest/save. Before opening up one of these investment accounts you should check to see what kind of investments you can make through the account, ask about any account fees and shop around firms to compare fees/rates. 

TFSA - TAX-FREE SAVINGS ACCOUNT

• 18 years or older 

• Contributions not tax deductible 

• Save or invest with tax-free growth

• Contribution limits set by the government of Canada 

RRSP - REGISTERED RETIREMENT SAVINGS PLAN

• Contributions deductible to help reduce taxes 

• Save or invest for Retirement 

• Tax differed growth (pay tax when you make withdrawals)

• Contribution room determined by your income 

• Age 71 either transfer RRSP to RRIF or make lump sum withdrawal

I chose this website because it briefly introduces the types of investment accounts available for Canadian citizens. One piece of information that I found useful was learning which accounts were tax deductible and which accounts were either tax-deferred or tax-free. 

1. What’s your time horizon?

2. Do you have any major purchases coming up soon?

3. How stable is your income?

4. How do you react to a market correction?

5. How do you currently invest?
   

A conservative investor might lean toward bonds, while an aggressive investor could find more interest in stocks. A moderate investor might have a balanced approach, with a mix of stocks and bonds. Finding the right balance is key to achieving your financial goals while managing risk appropriately.

I chose this website because it asks some great questions to consider before investing. Everyone is different and has different goals and expenses. It’s important to know these things before starting your investment journey so you can build your portfolio around your own goals and risk tolerance. A piece of information that I found useful was to consider how you react to a market correction/volatility. I don’t think many new investors consider this before investing. They end up being afraid to lose their money and panic sell too early while they are down before allowing a chance for potential recovery. 

I find this image useful because I think Yahoo Finance is a useful tool for all investors to get the information they need for any stock. One of the most useful pieces of information that this page offers, and that I use very frequently, is the option to view the stock chart from different timelines. Right now it is set to 1 Day but you can see this stocks performance within the span of a month, 3 months, 1 year and all time.

I chose this image because I wanted to incorporate the idea of looking into what other investors do and what advice they give to the public. Looking into successful investors like Warren can help you build an idea of what you may wnat to do with your investing journey. Never depend on just the advice of others and alway do your own research.

Something I learned while researching my topic is bonds. I knew little to nothing about what they were before. The first time i heard about bonds was through this Money Matters course and I chose this topic in hopes to learn more about this topic. I am currently not invested in any bonds but they are something I will definitely consider as I age and want to lower my risk exposure. 

Provide a real-life example of how this topic is relevant or interesting for you.

This topic is fascinating to me because I am an investor. I started my investment journey earlier this year in July and so far has been exciting. I have been learning many new things I didn’t know before through my own reading and experiences but also through Money Matters. I have a TFSA through the app 'Wealth Simple' and manage my portfolio myself. Considering this, I need to be well involved in my financial literacy and news regarding the investments I am making so I can maintain success in my portfolio. I am currently invested in both individual stocks and ETF’s and I’ve started to see my portfolio grow and become profitable. Each week I deposit 10% of my bi-weekly paycheque into stocks and dollar cost average my positions. 

If you could pass on your knowledge to a family member or friend, what do you think is the most important thing to pass on?

I would tell them to start investing today. If they have yet to begin to invest, the next best time is to start now. It’s never too late to begin. I would then suggest to open a Tax-Free Savings Account (TFSA) through either a bank or brokerage of their choice. The TFSA name is misleading to many Canadians because this should be used as an investing account instead of a savings account. Then I’d recommend that they start with an amount they are comfortable with and buy ETF’s. I’d recommend an S&P 500 etf such as VFV or ZSP my personal preference is VFV. This should make up about 30% of your portfolio. Then I’d recommend buying an ETF that tracks the performance of the NASDAQ such as XQQ or QQC. This should make up about 20% of your portfolio. Lastly, for diversification, I’d recommend a Canadian BLUE Chip Dividend ETF such as VDY or XEI. Many of the stocks on the TSX are in the Financial and Energy Sectors unlike the S&P 500 this ensures balance in your portfolio. This should make up about 10% of your portfolio. Then I’d recommend choosing a couple of growth stocks such as Tesla, Google, Nvidia and Apple. Everyone should be financially literate. All the necessary resources are available to us all. The last thing I would say is instead of buying the latest sneakers or iPhone, how about buying some stock in Nike or Apple first, or instead of purchasing that daily coffee how about putting that $5 a day into the stock market.