Module 1 Flashcards
1
Q
Time value of meney
A
The equivalent values of money paid or received at different time periods
2
Q
Formula for financial goals at time t
A
Existing S + Income from existing S for t years + Annual S + Income from annual S
3
Q
What are the 3 economic factors that affect financial savings
A
Inflation
Exchange Rate
Interest Rate
4
Q
Financial adviser
A
Umbrella term for a person such as a stock brocker, an insurance sales person, or an investment agent
5
Q
Financial planner
A
A single professional able to give advice on investment, insurance, tax planning, retirement planning, estate planning
6
Q
4 Types of financial planner/adviser
A
1) Salaried Employee
2) Commission Planner
3) Fee based planner
4) Fee only planner
