Hello Accelerated Math Students! As part of your Quarter 2 investment project, you will post on this blog using your holiday pseudonym. You will also comment on two other posts. EXTENDED DUE DATE: SUNDAY DECEMBER 11, 2016. The grades are now finished for the blog.
Sunday, December 11, 2016
Investing
Many people would put their money in a savings account in the bank, Chase. The annual rate of return is 0.03%. The same company would usually have an annual rate of return of 0.01%. It is possible that some people get a higher rate than others. What these people have is a "Relationship Rate". Relationship rate is when banks sell financial products to the customer and increase customer loyalty. (http://www.investopedia.com/terms/r/relationship-banking.asp) Even with a rate higher than other banks, you still earn more from investing. Investing is a way people can earn more money in a faster amount of time. I saw the difference that in 10 years, the amount of money that I invested is twice as much as 10 years of saving. Even though investing is a good way to earn money, it is also a risk. Each 2 days, I have been checking the company's rate and they easily drop and rise back at times.
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Thank you for sending this post this will really help me choose wisely if I should risk investing in a company or save in the bank and be safe, but have less of an income in the next few years.
ReplyDeleteI agree with your concept of how investing in companies are risky but, it is also hard to invest in companies from the beginning. Allow me to explain, companies won't take you seriously if you don't have enough money to invest in, while savings account don't really care or worry about that.
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