Financial Planning

Do your planning,

1. Introduction to Financial Planning

• What is financial planning?
• Three steps in financial planning process

2. Analyzing the resources of the person

• Elements of the Balance Sheet
• The Income and Expense Statement
• The Budget
• Why is it important to prepare budget carefully?

3. Basic Concepts in Financial Planning

• The time value of money
• Diversification - 'spreading risk'
• Investment Timing

4. Financial Products for Savers

• Saving versus Investment
• Products options for savers
• Checking Accounts
• Savings Account
• Certificates of Deposit
• Money Market Mutual Funds
• Money Market Deposit Accounts
• U.S. Treasury Bills 

5. Financial Products for Investors

• Products options for Investors
• Common Stock
• Bonds
• Preferred Stock
• Mutual Funds
• Real Estate
• Commodities
• Metals, Art and Collectibles

6. The Psychographics & Life Cycle of the Investor

• The Five Personalities
• Using the Five-Way Classification Model
• Risk/Return Trade-Offs for Investors
• Risk/Return Position at Various Life Cycle Stages

7.Goal Achievement, Investment Objectives & Investment Constraints

• Types of Goals
• Investment Objectives
• Liquidity: Real Needs and Perceived Needs

8. Tax Planning

• Strategies for reducing federal income tax

9. Model Portfolio

• Basics of Portfolio Management
• Building a Model Portfolio