+
Personal Finance
Investing
+
Group report

Select two famous Australian individuals (business or other).

Answer these questions…






The background to their net worth.
How they made their money
The industry they work in
The future for them
Should such individuals earn such high incomes?
 Explain your response.
As a group, you will present the following answer to this
following question (1 min presentation in-front of class as a
group).
+
Recap

Define the term “income”

Name and define two forms of income

Which person is owed money…. Debitor & Creditor?

What is Social Security?

Define Interest, and Dividends
+
Investments

Individuals and families look to increase their wealth through
investment.

EG. Banks (term deposits), Shares, Property (homes)

Risk v Return. There are a number of different investment
options available that vary in return and risk.
 Return – what the individual is to gain from their investment
 Risk – what the individual stands to lose from their
investment
 Short, Medium & Long term…?

https://www.moneysmart.gov.au/investing/investingbasics/choose-your-investments
+
Class Discussion

Where would you place the
following on the scale of risk
associated:

Savings Accounts

Shares

Property

Term Deposits

Loan to Another Business
High Risk
Low Risk
+
(Banks)Savings Accounts

A savings account (or term deposit) is considered one
of the lowest risk investment options.

There is a guaranteed return on investment, however,
this return is low compared to other investment options.

In Australia, the Federal Government has guaranteed
that monies up to the value of $1 million will be
protected should a bank or financial institution
collapse.
+
Extension / Homework

Money Smart website. (moneysmart.gov.au)

Quizzies – Investing for next lesson.
https://www.moneysmart.gov.au/tools-andresources/quizzes
+
Activity

Research and consider the types of savings accounts
available at the following financial institutions:
 Commonwealth Bank – www.commbank.com.au
 St George – www.stgeorge.com.au
 Citibank – www.citigroup.com.au
 Heritage Building Society – www.heritage.com.au

Answer the following questions:
① What are the current interest rates of the savings
accounts?
② Do the savings accounts differ in any way? Explain
your answer.
+
(Shares) Stock Market

The Stock Market is a place for trading company stock at an
agreed price.

This video will explain the Stock Market in Australia.


http://www.asx.com.au/programs/vignettes/lesson1part1.html
When watching this video, answer the following:
①
What is the name of the Stock Market in Australia?
②
When was the Australian Stock Market formed?
③
How were stocks originally traded?
④
Why do people invest in Australian shares?
+
Stock Market

What is a blue chip share

How are shares traded and why do they go up and down?

How do you make money from Shares?

Who can buy shares?

Whats the best shares to buy?
+
Activity

Copy the below table into your notebook.

What types of investments would be typical for the following
individuals to have? Explain your response.
18 Year Old
35 Year Old
65 Year Old
+
Extension / Homework

Money Smart website. (moneysmart.gov.au)

Quizzies – Managing your Money for next lesson.
https://www.moneysmart.gov.au/tools-andresources/quizzes/managing-your-money-quiz